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Underwriting Updates

Pineapple works with over 40 lenders plus the big banks. Get lender updates, rate announcements, and more from our dedicated Underwriting Department.

Policy/Program Updates

ICICI

Important Notice: File Completeness

Effective September 1, 2022, Solicitor Instruction will be sent only after all client conditions are satisfied.

  • Purchase files not broker complete a minimum of 5 business days prior to closing, will be subject to a closing date extension of 5 business days. 
  • Refinance files not broker complete a minimum of 15 business days prior to closing, will be subject to a closing date extension of 15 business days.

ICICI Bank Canada reserves the right to adjust the interest rate and/or charge additional fees for such delayed closing.

First National

Effective Immediately, there is no longer a 5 bp premium to the rate when reducing commission to cover the closing costs! Cover your clients’ legal costs with a 10 bp reduction in commission and offer our lowest applicable rate today!

The Collateral Transfer program allows clients with readvanceable mortgages to be transferred to First National.

TD

To: All Brokers

Following the Bank of Canada’s interest rate announcement on July 13, 2022, we want to clarify how the RESL qualifying rates used for mortgage pre-approvals and applications are affected by an increase in interest rates.

Conventional mortgage pre-approvals:

The qualifying rate remains unchanged when converting to a full application only if the rate and pre-approval have not expired and there have been no material changes to the application details.

Default insured mortgage pre-approvals:

The qualifying rate is not determined until a full application with property details is submitted to the default insurer.

As a reminder, all default insured mortgage pre-approvals are subject to approval from the default insurer when converted to a full application with property details.

The pre-approval amount may change if a new higher qualifying rate is applied when the customer purchases a home and a full application to the default insurer is submitted. This will impact customers who were pre-approved before an interest rate increase and submit a full application after the increase.

Previously approved conventional and default insured full applications:

If a change is made resulting in the loss of adjudication decision (i.e., change in Term, mortgage interest rate type (fixed/VIRM), rate variance, borrowing amount, security details, insurance indicator (conventional vs. high-ratio), etc.), the application will be adjudicated using the qualifying rate in effect at the time of resubmission to the Credit Centre.

What you need to know

As a result of the recent increases to interest rates and qualifying rates, customers are understandably concerned about affordability and eligibility when it comes to their home financing goals. Understanding the rules around qualifying rates will strengthen your RESL product knowledge and help you have confident conversations with customers. Refer to the RESL Qualifying Rate page for more information. 

What you need to do

  • Set the right expectation with your customers when they are pre-approved, especially those whose qualifying rate and maximum lending amount may be subject to change at the time of their full application.
  • Recommend customers to add conditions of financing when making an offer on a home. 
  • For insured deals, ensure your customers understand that their pre-approval amount is subject to both changes in interest rate and default insurer approval when they make an offer to purchase a home and submit a full application.

Contact

If you have any questions, please contact your Regional or Inside Sales Manager.

B2B Bank

Effective September 1, 2022, to comply with new requirements for Bill 96 – An Act Respecting French, the Official and Common language of Quebec, all Quebec registrations at the land register of the deeds remain unchanged for all provinces.

What does this mean to you?

Should notaries located in Quebec have questions related to the bilingual version of the deeds of immovable hypothec, please be advised that:

  • English-only deeds have been replaced with a bilingual version
  • The notary must publish an authentic extract of the French part of the bilingual deed at the land register to comply with the requirements of Bill 96.

Promos

Community Trust

The above premiums are added to our current base rates…

35-year amortization is also available! (+15 bps rate premium)

Essential Tutorial Videos

Non-B20 Compliant Scenario

In this Deal and Underwriting session, Emerson Munsayac discusses Non-B20 compliant scenarios. He shares what Non-B20 Guidelines are when they started and updates that have been made since 2018.

What You’ll Learn

  • What Non-B20 Guidelines are when they started and what updates have been made since 2018.
  • What a stress test is, how it regulates the industry and how easily accessible it is through the Pineapple rate sheet.
  • A scenario that gives an idea of how the numbers work and how to get the right product sheet for different guidelines.

New to Canada Case Study with Don Chen

Pineapple Counsellor Don Chen, shares information and the importance of New to Canada clients.

What You’ll Learn

  • Who are new to Canada clients and the importance of these clients establishing a credit bureau history.
  • Requirements that are crucial for new to Canada clients who are looking to qualify for a mortgage.

Figuring Out Penalties

Emerson takes us through figuring out penalties.

What You’ll Learn

  • The difference between 3 months’ interest and the Interest Rate Differential (IRD).
  • Walks us through a real-life case study and shares how to calculate these payments.

The New Underwriting Process

Emerson shares a high-level overview of the updated underwriting process. 

What You’ll Learn

  • The new 9 step process for submitting your deal.
  • The importance of having your docs before submitting them to underwriting.
  • The new timelines that have been implemented into the Underwriting Process.

Utilizing Equity In Your Home

Emerson takes us through utilizing the equity in your home. Equity is the difference between the value of your home and how much you owe on your mortgage.

What You’ll Learn

  • There are two ways to build equity, the first is paying down the mortgage and the second is an increase in the property’s value.
  • How to use the equity in your home. He then goes through a real-life case study.

Mortgage Switch / Transfers

Emerson Munsayac takes us through Switches ve Transfers. He kicks off the meeting by explaining that a switch/transfer is when a client decides to move their mortgage from one lender to another.

What You’ll Learn

  • The difference between a mortgage switch and transfer.
  • How to utilize the calculators within our PineappleDOS system

Figuring Out Penalties

Emerson takes us through figuring out penalties.

What You’ll Learn

  • The difference between 3 months’ interest and the Interest Rate Differential (IRD).
  • Walks us through a real-life case study and shares how to calculate these payments.

The New Underwriting Process

Emerson shares a high-level overview of the updated underwriting process. 

What You’ll Learn

  • The new 9 step process for submitting your deal.
  • The importance of having your docs before submitting them to underwriting.
  • The new timelines that have been implemented into the Underwriting Process.

Utilizing Equity In Your Home

Emerson takes us through utilizing the equity in your home. Equity is the difference between the value of your home and how much you owe on your mortgage.

What You’ll Learn

  • There are two ways to build equity, the first is paying down the mortgage and the second is an increase in the property’s value.
  • How to use the equity in your home. He then goes through a real-life case study.

Mortgage Switch / Transfers

Emerson Munsayac takes us through Switches ve Transfers. He kicks off the meeting by explaining that a switch/transfer is when a client decides to move their mortgage from one lender to another.

What You’ll Learn

  • The difference between a mortgage switch and transfer.
  • How to utilize the calculators within our PineappleDOS system