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Residential Mortgage Underwriting Course

The following is an example of a CUSTOMIZED training course. This course is designed for mortgage agents who are new to the business, or recent graduates of Seneca College's FSU 101. This course may be further CUSTOMIZED to your needs and requirements.

Day #1

Introductions and Expectations

The Basic Skills

  • The Financial Services Industry
  • -an overview
  • -sources of mortgage funds
  • -meet the players -- who does what and why?
  • Role of the Mortgage Broker in Residential Financing

Mortgage Terms and Concepts

  • Definitions
  • Canada Mortgage and Housing Corporation
  • GE Capital Mortgage Insurance
  • Hi-Ratio Second Mortgages
  • Mortgage Backed Securities
  • Reverse Mortgages
  • Costs in a Mortgage Transaction -- who pays what?

Mortgage Math

  • Compound Interest: Best rate vs lowest rate!
  • Calculating Mortgage Payments
  • Balance at Maturity
  • GDS / TDS
  • Loan to Value Ratio
  • Discounts
  • Cost of Borrowing
  • Interest Adjustment

The Participants in a Real Estate Transaction

  • The Realtor
  • -Reviewing the Agreement of Purchase and Sale
  • -Conditions
  • The Appraiser
  • -Role of the Appraiser
  • -Approaches to Value
  • -Reading, Reviewing and Understanding Appraisals
  • -Environmental Issues
  • Surveyor
  • -What is a survey?
  • -Use of survey
  • -Reading a survey
  • -Alternatives
  • The Solicitor
  • -Ownership of Real Property
  • -Land Registry System
  • -Priority
  • -Closing the Transaction
  • -Reading and Reviewing Title Documents
  • Title Insurance
  • -What is it and how can it help close a transaction?

Day #2

Taking an Application

  • Interview techniques
  • Documentation

Credit Reports / Verifications

  • Reading and Understanding Credit Reports
  • Income and Equity Confirmations

Electronic Delivery Systems

  • Processing mortgage applications using MortgageBase or LSS

File Processing

  • Reviewing the Application and Supporting Documentation
  • Calculations
  • Product / Lender Selection
  • Checklists
  • Case Studies
  • Documentation and Follow-Up

The Mortgage Brokers Act

  • An overview
  • FSCO Guidelines
  • Relationship Between Mortgage Broker and Mortgage Agent
  • Forms 1 & 2

Marketing

  • Identifying Potential Sources of Business
  • Developing Marketing Plans
  • Effectively Handling Inquiries (dealing with "shoppers")
  • Tracking Your Progress
  • Maintaining Relationships

Please note that this course is not currently offered to the general public. This, and similar courses, are made available to mortgage brokerage firms throughout Ontario for the training of new agents.

For public courses see 10 Steps to Becoming A Successful Mortgage Agent.

For information about this or other CUSTOMIZED training courses, contact KIT Services at kit@bramguard.com