Hi, Guest
03-01-2006, 06:51 PM
(This post was last modified: 03-01-2006, 06:55 PM by Honkeytonk Monkey.)
I had a house lined up and wanted it paid off over 15 years, over 50% of my income (although I have 3 renters I trust lined up for over 5 years all more than willing to pay me $400 a month) and I had a 5% down. Despite this, I had my Dad as a cosigner. He owns Northern Saskatchewan (slight exageration), a house fully paid off, a cabin fully paid off, and he owns the gravel pit in North Battleford. He should be able to walk into a bank and borrow any ammount he ever wants (well... close).
Back to my problem. Banks dislike lending if over 30% of your income goes into the mortgage payment. In my case my renters would completely cover the $900 payment. My moving expenses are free, I have access to a fully fueled 5-ton truck at work, as well as several dollys, etc... and the house came with all appliances.
BMO could not get the loan insured, despite dad's cosign, unless I put down 25%. This is where they pissed me off. TD bank had already told me that with a co-sign, even with no down, I would be approved to a bi-weekly paid mortgage that would be paid off in 13 years. BMO is the only bank my dad has ever banked at however and he has developped a personal attacment to them. They told him no bank would approve the loan, and despite both myself and the loan officer at TD insisting they were incorrect, he took thier word for it and basically told TD to go away.
And thus here I sit with no house living in an apartment, incidently my rent here is only 300 a month less than that mortgage payment would be, and I don't have tennants to pay it here. I fail to see why any financial institute thinks I'm better off here... :rolleyes:
Back to my problem. Banks dislike lending if over 30% of your income goes into the mortgage payment. In my case my renters would completely cover the $900 payment. My moving expenses are free, I have access to a fully fueled 5-ton truck at work, as well as several dollys, etc... and the house came with all appliances.
BMO could not get the loan insured, despite dad's cosign, unless I put down 25%. This is where they pissed me off. TD bank had already told me that with a co-sign, even with no down, I would be approved to a bi-weekly paid mortgage that would be paid off in 13 years. BMO is the only bank my dad has ever banked at however and he has developped a personal attacment to them. They told him no bank would approve the loan, and despite both myself and the loan officer at TD insisting they were incorrect, he took thier word for it and basically told TD to go away.
And thus here I sit with no house living in an apartment, incidently my rent here is only 300 a month less than that mortgage payment would be, and I don't have tennants to pay it here. I fail to see why any financial institute thinks I'm better off here... :rolleyes:
