Change of Vancouver major banks lending policy
1) Power of Attorney: pls be awared that many bank will not accept power of attorney anymore or the policy has been tightened. The policy is different from bank to bank. Some banks need buyer to be in town to sign the application form and may accept power of attorney during closing & some is the other way round. For overseas buyer, please don't assume the power of attorney has the same power as before when you try to obtain a mortgage for your purchase.
2) Self Employ: CMHC as of yesterday doesn't allow high ratio lending anymore.
3) Equity lending: only one or 2 major banks are still willing to grant equity loan. Equity lending means you can put 35% down payment then no question ask. However, in today's economic weather, we don't know how long this will last.
For those who bought pre-sale, please don't wait to the last minute to arrange your mortgage. Since the value of the property likely to be lower than the time you bought. Please make sure you start making your arrangement asap to avoid legal issue during closing.
Buying a property is the biggest investment in your life, please make sure you work with experienced professional to help you go through all these technical issue.
