Lesson Number 4: Don’t Delay with Banking, Movers and Utilities.
In the best of times, things can seem overwhelming thinking of all the business and banking tied to making a move. During a pandemic it is critical to get on top of things immediately and pretty much count on everything taking twice as long.
Movers: Mark’s decision was brilliant! If you are moving out of an area, choose movers that are located in the area that you are moving to. Why? They will be dependent on your review or referral. Their local reputation is important. If you choose a company located in the area where you are leaving, they know you are gone. Research, via reviews, the best company. Ask your realtor for a recommendation. I think better to go with a locally owned smaller company than a large outfit that might tend to layer overage and extra charges.
Banking: We chose to go with Canada Trust as David Chak, customer service representative who we dealt with at the Canada Trust in Dundas, is now working as a mobile mortgage specialist for TD. This means he can service clients throughout Canada for mortgaging needs. David is an exceptionally joyful and optimistic person with excellent people skills. These are critical in maintaining the customer relationship when the rigor and bureaucracy of the banking system can seem unending and frustrating.
Keep in mind that banks right now are over worked with the very active real estate market. In addition, they are being rather conservative in their assessments. Approvals are based on income and incoming cash flow as opposed to what you might have in your investment portfolio. Given the crazy volatile stock market and money markets, investments can change value on a dime, consequently, the banks don’t value it quite as much as we assume. Remember that they want to see a ton of documentation. Make sure you have it ready to access. Also, get on them immediately to get your new purchase appraised, do not let them wait until the eleventh hour.
Last remember, bridge financing needs an offer to be approved, carries a high interest rate, is only used between the purchase of the new place and the sale of your present home. Home equity financing is essentially a power line and because it has the status of a mortgage it requires more paperwork, has a lower interest rate and can be reduced and left after the purchase/sale of the properties against the value of your new property. It can be very beneficial for future expenses.
Utilities: It is really important that you contact gas, hydro, cable/internet providers on both ends.