Did you know not all lenders qualify clients the same when the client has 20% or more of the purchase price available for the down payment?
When the Federal Government introduced changes for clients to qualify for a mortgage one of the big changes was no matter what the interest rate was, clients had to qualify at a rate of 4.64%. As an example today, a lender announced a rate special for 5yrs fixed of 2.39%. This change was mandated for any client that has less than 20% down payment(as long as property is under 40 acres, or 25% if property is over 40 acres).
What some, but NOT ALL lenders have done, is copied this strategy for clients who have the 20% or 25% down payment. This qualifying rate of 4.64% simply reduces the buying power of a borrower. Thankfully, not all lenders have copied this strategy for clients who have the 20% or 25% down payment.
A Mortgage Professional will seek out these lenders for you and provide you with a lender that will work in partnership with you to obtain the purchasing power you wish for!