Can i still get approved?

[fl4wless]

Okay, i am building a home right now...i paid the builder 10% cash....35k.. and they assume the remaining 90% with a builders mortgage (i dont pay a dime until i move in). My bank (scotia) has pre-approved me for a mortgage, but the builder goes with a different financial institution (local cu) for the builders mortgage, which doesnt matter to me...i have to pay a 300 dollar fee to transfer it, which scotia will gladly take care of.

I will be putting another 10% down when my mortgage is funded to make up a 20% downpayment to avoid CMHC (my bank has a copy of our contract which was needed for the pre-approval).


Now technically since i have no obligation to scotia (i have only been preapproved) I am wondering if i went to another financial institution, could i get preapproval for a different property? My home wont be ready for another 15 months.... Would another financial institution even know about my pre-approval with scotia? would they even care, i havent signed anything with the bank.

The reason i ask, is because I have found some lakefront land for quite cheap that i plan to move a mobile home onto to possibly flip by next spring.

I have a meeting tomorrow with CIBC, as i also deal with them, but thought id post here and see if anyone else has been in a similar situation.

[mirek]

Okay, i am building a home right now...i paid the builder 10% cash....35k.. and they assume the remaining 90% with a builders mortgage (i dont pay a dime until i move in). My bank (scotia) has pre-approved me for a mortgage, but the builder goes with a different financial institution (local cu) for the builders mortgage, which doesnt matter to me...i have to pay a 300 dollar fee to transfer it, which scotia will gladly take care of.

I will be putting another 10% down when my mortgage is funded to make up a 20% downpayment to avoid CMHC (my bank has a copy of our contract which was needed for the pre-approval).


Now technically since i have no obligation to scotia (i have only been preapproved) I am wondering if i went to another financial institution, could i get preapproval for a different property? My home wont be ready for another 15 months.... Would another financial institution even know about my pre-approval with scotia? would they even care, i havent signed anything with the bank.

The reason i ask, is because I have found some lakefront land for quite cheap that i plan to move a mobile home onto to possibly flip by next spring.

I have a meeting tomorrow with CIBC, as i also deal with them, but thought id post here and see if anyone else has been in a similar situation.

All they can do is a title search, they won't know about any mortgage with any other bank, since they do not provide that info to the credit bureau. Are you getting first time home buyer excemption?

[fl4wless]

All they can do is a title search, they won't know about any mortgage with any other bank, since they do not provide that info to the credit bureau. Are you getting first time home buyer excemption?

Not eligible for the HBP.

Ah i guess i would be on the title already. Hopefully its not an issue.

[Jero]

Not eligible for the HBP.

Ah i guess i would be on the title already. Hopefully its not an issue.

Good luck. Since the builder setup their own funding, it will be kept separate from the eyes of the other mortgage brokers and banks. Only if you applied directly to Scotia will this information be available to others to see on your credit report.

Besides, a pre-approval is different from signing into an agreement. CIBC can pre-approve you as well and it's up to you to go with your lakefront property. You're doing well if you're using the builder's money to build your home.:)