TD To Honour Pre Approvals Committed Before Jan 1st

Here's an example of the impact the new qualifying rate will have. Amounts are based on a $ 75,000, 5-year fixed term mortgage rate of 3.39%, 25-year amortization, $ 100,000 available for down payment and $ 700 in other monthly debt obligations:

 

 Up to December 31, 2017 After January 1, 2018

Target Rate 3.39% 3.39%

Qualifying Rate 3.39% 5.39%

Maximum Mortgage Amount $ 400,000 $ 325,000

Available Down Payment $ 100,000 $ 100,000

   

Home Purchase Price $ 500,000 $ 425,000  

A customer's maximum mortgage amount, other debt obligations, and credit score. 

 

How will TD manage in-flight applications? 

Changes to existing policies and procedures may impact applications initiated before or after January 1, 2018.

 

timeline: Pre-Approval:

Purchase Transactions or Refinances:

Before  January 1, 2018 Pre-Approvals committed 

before January 1 st  will remain valid up to 120 days following the initial credit decision. Approved applications closing before or after January 1 st will remain valid; re-adjudication is required as a result of the qualifying rate update.

On and after January 1, 2018 Any material changes to the request post January 1 st  may require re-adjudication using updated qualifying rates. Material changes to the request post January 1 st  may require re-adjudication using updated qualifying rate rules.  

Additional information will be shared as it becomes available. 

-  TD Canada Trust

Please contact Michelle Alton, Real Estate Sales Representative for further information.