Quote:
Originally Posted by fotze
I have never met anyone who was unable to get a mortgage due to their credit. Does it happen often. I have found that having good credit is over rated. Banks will give a mortgage to a dalmation it seems.
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I haven't done any shopping as of yet, but from my understanding, it seems that unless your in a tight spot, great credit = good credit = above average credit (again, from no experience). I only say this because when I met with the bank to discuss pre-approval a year ago (didn't end up buying, and would have used a broker if I was serious), the rates they wanted to give me were the ones I could google and find on there site, so my credit didn't matter (assuming a minimum level of good credit I imagine).
When I asked how much I could borrow, it was pretty much the max the Government of Canada income over debt ratio would give me, whatever that ratio is called.
Edit: same ratio as pizza mentioned above.... Debt-Service Ratio " The percentage of the borrower's gross income that will be used for monthly payments of principal, interest, taxes, heating costs and condominium fees." (I think condo fees count at 50% for some reason)
Thank you for all the tips everyone!