A Crucial Warning for Home Buyers Approaching Their Closing Date

Josh Perez • June 10, 2024

Josh Perez here. I want to share an important message for all home buyers who are nearing their closing date. In the past week alone, I’ve encountered two situations that underscore the need for caution. These instances involved either desperate or misinformed mortgage professionals—one from a bank and one from another broker. If you're within one to two weeks of your closing date and already have mortgage approval, it's crucial to stay the course and not start a new process elsewhere.

"Anyone who actually cares about your wellbeing and not the sale of a transaction for themselves should be very cautious about jumping into your file two weeks before your closing for the first time."

Timing Matters

While shopping for the right mortgage product and professional is important, timing is everything. Changing your mortgage plans one to two weeks before your closing date is extremely risky. Anyone who genuinely cares about your wellbeing—and not just closing a transaction—should be cautious about jumping into your file so close to the closing date.


Recognizing Red Flags

One key warning sign is when someone offers an interest rate without thoroughly reviewing your file, income, documents, and credit. For example, this week, a bank representative gave a rate to one of our clients, who then asked if we could match it. We could match the rate, but we knew our client couldn't qualify for the approval terms from that lender. If we had backed out, our client would have lost a crucial $300,000 home equity line of credit or needed an extra $250,000 for the down payment, which they didn't have.


The Danger of Last-Minute Changes

In another case, a mortgage broker intervened 10 days before closing, submitting an application to a lender where we already had approval. This action led to a decline for the other broker because sending multiple applications to the same lender can result in automatic disqualification due to conflicting information. This last-minute change would have jeopardized the client's approval and put their deposit at risk.


Final Advice

While I support mortgage shopping, it should be done well before your purchase or during the conditional period—not two weeks before closing. This late in the process, you're putting yourself and your family at significant risk. Stick with your current plan, and make any changes long before the closing date to ensure a smooth and successful transaction.

Stay informed and cautious out there!


Cheers,

Josh Perez


Josh Perez
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What You Need to Know About Mortgages and Parental Leave

By Josh Perez • July 8, 2026
If the title of this article caught your attention, chances are your family is growing. Congratulations. If you’re thinking now is the right time to move into a home that better fits your growing family—but you’re unsure how parental leave affects your ability to qualify for a mortgage—you’re in the right place. Here’s the good news. Qualifying for a mortgage while on parental leave is possible when it’s done correctly. When you work with an independent mortgage professional, lenders can often qualify you based on your return-to-work income , as long as you can provide documentation confirming you have guaranteed employment waiting for you. A word of caution If you walk into a bank branch and disclose that you’re currently on parental leave, there’s a chance the bank will only allow you to qualify using your parental leave income. That can significantly reduce your borrowing power. Parental leave income is typically limited to 55% of your previous earnings, up to a weekly maximum. Qualifying on that amount alone can restrict your options and impact the type of home you can purchase. Why lender choice matters One of the biggest advantages of working with an independent mortgage professional is choice . You’re not limited to one lender’s rules or products. Some lenders will allow you to qualify using 100% of your confirmed return-to-work income , which can make a meaningful difference in your approval amount and overall options. What you’ll need to qualify Most lenders will require an employment letter that includes: Employer name (preferably on company letterhead) Your job title Original start date (to confirm probation has been completed) Confirmed return-to-work date Guaranteed salary upon return Lenders want reassurance that your income will resume once parental leave ends. You may also be asked to provide income history from the past couple of years, which is standard for most mortgage applications. One important note Whether or not you actually return to work after parental leave is entirely your decision. From a mortgage perspective, qualification is based on having a confirmed position available to you at the time of approval. If you have questions about qualifying for a mortgage while on parental leave—or anything mortgage-related—please connect anytime. I’d be happy to walk you through your options and help you plan with confidence.
Suburban two-story house with a front porch, two-car garage, and a large tree-lined lawn.

Gifted Down Payment in Ontario? Don't Skip This Step

By Josh Perz • July 7, 2026
Using a gifted down payment to buy a home in Ontario? Learn exactly what lenders require — and the common mistakes that can delay or derail your approval.