I turned it around quickly, BUT…
I paid off a 54 month proposal in 2 years (last payment was April 2008). I would like to apply for a mortgage now. Although the CP will show up on my credit rating, is there any reason why I could be refused a mortgage? Will the fact that I paid the CP and have a $75,000+ salary now be taken into consideration by the banks?
Posted from: Ontario
Even thogh you did a great job repayig the proposal, the global credit crisis is going to work against you right now… Any kind of new credit will be difficult to obtain right now,
In most cases it takes at least 2 years after you complete a proposal in order to qualify for a mortgage. Since it has only been 6 months for you it is unlikely anyone will approve you at this time. Be careful – anyone that does approve you will likely charge a significant interest premium (2 to 4 %) – you’d be better off to rent for another 2 years and save the money you would have spent on your mortgage payments towards a larger downpayment…