Take advantage of lower rates and payments early onWelcome to BMO Mortgage solutions.
Our Mortgage Bankers can help answer your questions.
Adjustable Rate Mortgage
An adjustable rate mortgage (A R M) may help you save money in the short term. Generally, an A R M has lower monthly principal and interest payments during the initial fixed interest rate period. , footnote 1 Later, your interest rate will be variable and will adjust semi-annually if the index changes. An A R M may be the best way to go if you don't plan to live in your home for a long time.
- Your monthly principal and interest payment may be less during the initial fixed interest rate period for an A R M versus a fixed rate mortgage
- Your initial interest rate is fixed for a short period of time, after which it will convert to a variable rate and adjust semi-annually during the life of your loan if the index changes, footnote 1
- Once the loan converts to a variable rate, interest rates and payments may vary, footnote 1
- Get the convenience of automatic mortgage payments with Auto Pay, footnote 2 from your BMO checking account
Five Steps to a Smoother Mortgage Process, footnote 6
Speak with a Mortgage Banker. Share general information about your employment history, income, savings, investments, debts and property you wish to purchase or refinance.
Identify product, interest rate options and closing costs. Discuss qualification requirements. Recommend the product(s) that best fit your needs and goals. Identify required documentation and deposit necessary. Schedule an appointment for the application interview.
When you choose BMO Harris for your mortgage financing needs, you'll have the resources of an experienced financial lender, as well as the assistance of a professional Mortgage Banker who will walk you through each step and help you understand the process.
PrequalificationYou need to:
Speak with a BMO Mortgage Banker
Share information about your income, savings, investments, credit history and debts
Inform you of the amount of the loan for which you prequalify and provide you a prequalification letter
Discuss products, interest rate options and closing costs
Identify the product(s) that best fits your financial needs and goals
Schedule an appointment for the application interview
Identify required documentation and the amount of the deposit needed to process your application
When you choose BMO for your mortgage financing needs, you'll have the resources of an experienced financial lender, as well as the assistance of a professional Mortgage Banker who will walk you through each step and help you understand the process.
ApplicationYou need to:
Provide basic information to your banker including your social security number, your income, loan amount, property address and value of the property to be mortgaged.
Select a product
Receive and review the Loan Estimate sent by BMO. The Loan Estimate provides our good faith estimate of the interest rate on the loan, your monthly payments, closing costs and other items that help you decide if this loan is right for you.
Complete your mortgage application. This will include information about your employment history, income savings, investments, debts and the property you wish to purchase or refinance.
Confirm your preferred method for communication and receipt of documentation
Review the Consumer Financial Protection Bureau (C F P B) Your Home Loan Tool Kit that we send you. Review and sign the application documentation.
Provide your intent to proceed and submit your application and application deposit. Your intent to proceed must be received before your application deposit will be accepted.
Determine who should be contacted to gain access to the property and the best time to schedule the appointment with the appraiser
Identify any additional documentation that may be required to render a credit decision
Deliver the complete application package to the BMO mortgage application processing team
While we will provide you with a Loan Estimate based on preliminary information, we will need additional information to further process your request, including:
- Realtor and attorney contact information
- Documentation about your income such as salary, earnings and wages (for example W-2s, alimony, investment income, social security)
- Most recent two years’ federal income tax returns
- Verification of employment if employed
- Most recent three months’ bank and investment statements — all pages
- Purchase contract and any and all addendums for the property you are buying
Identify any additional documentation needed to process the loan and render a credit decision— confirm how and when it will be received
Order the appraisal, flood certification, title commitment and private mortgage insurance certificate
- The appraisal will be completed by a state-licensed and/or certified appraiser
Send you a copy of the appraisal
Once the appraisal is complete, the application can move into the next step of the process. Ensure that your appraisal appointment is scheduled promptly and kept as agreed. Promptly provide BMO with any additional documentation required to render a credit decision.
Review all employment, income, savings, investments and debt
Compare information on the application to paystubs, W-2 forms, tax returns, bank and investment statements, etc. to determine that sufficient income and funds are available for down payment, closing costs and reserves
Review the credit report to determine outstanding debt, payment history and your current credit score
Review the appraisal to confirm the market value and determine if the property represents sufficient collateral for the loan
Determine that qualification requirements are met to approve the loan
Deliver the Commitment Letter and identify any closing conditions, if the loan is approved
Provide updated regulatory disclosures
Secure and provide evidence of homeowners (or “hazard”) insurance and flood insurance (if required) coverage for the property being purchased or refinanced
Review, sign and return any applicable documents or disclosures that are provided to you by BMO
When you receive the Commitment Letter, updated regulatory disclosures if applicable and appraisal, please review these documents. Identify any conditions required for closing. The loan can be scheduled for closing once BMO has received all required information.
Review and confirm all loan terms and closing conditions
Identify a convenient date, time and location for the closing
Schedule the closing with the title company
Order pay-off letters, subordinations, releases, etc. and clear all closing conditions
Send your Closing Disclosure for your review at least three business days prior to closing
Prepare and deliver the closing documents to the title company and coordinate final figures for closing; wire the loan proceeds to the title company
Provide information on final funds needed for closing and the method of payment required
Attend the closing at the BMO Harris branch or title company as scheduled and sign all mortgage and legal documents
Provide final funds for closing if required. This information will be detailed in the Closing Disclosure.
When you attend the closing, bring a legal form of identification (driver’s license, state I.D., passport, etc.) and the necessary final funds in the form of a cashier’s check or secured funds.
Confirm with your Mortgage Banker or the title company if funds will need to be wired from your bank to the title company's bank.
Compare the Closing Disclosure to the Loan Estimate.
Contact your Mortgage Banker in advance of the closing if you have any questions.
Discover how easy it is to apply online
Our online application is a quick and easy way to apply for a mortgage. You can access your application from any device, upload documents and check your loan status, getting notifications throughout the process. Watch this video to learn how fast, simple and secure your application can be.
Helpful tips and advice for homebuyers
Payment MethodsWe offer a range of payment options to help you conveniently make your payment on time, every month.
Each is safe and securefootnote just choose what's easiest for you:
- In person at any of more than 600 B M O Harris locations
- By mail
Mon - Thu 8a.m. - 7 p.m. (CT)
Fri 8 a.m. - 6 p.m. (CT)
Sat 8 a.m. - 1 p.m. (CT) Call 1-888-482-3781
Mon - Thu 8 a.m. - 7 p.m. (CT)
Fri 8 a.m. - 6 p.m. (CT)
Sat 8 a.m. - 1 p.m. (CT)
Frequently asked questions
If you expect to stay in your home for a relatively short period of time, consider an Adjustable Rate Mortgage (A R M). You can potentially save a significant amount with a lower interest rate and lower monthly payments in the short term. A R M interest rates may rise, however, after an initial fixed period. Consult with a BMO Mortgage Banker for more information.
Prequalification is a quick analysis of how much loan you can afford based on verbal information you provide to us. It will give you a general idea of the price range you can afford. There are no fees for a BMO prequalification.
Preapproval is a loan commitment based on verified information prior to finding a home. There are no fees to apply for a BMO preapproval. A completed loan application, however, is necessary to receive a preapproval loan commitment.
It is best to schedule a mortgage consultation with one of our Mortgage Bankers.
It depends on how long you expect to own your home. The lower the interest rate, the lower your principal and interest payment. You must consider the monthly savings versus the extra point(s). Discount and interest points may or may not be tax deductible. Please consult your tax advisor to discuss your individual situation.
No. The interest rate for your mortgage note will be the rate you selected when you signed your Price Protection Election Agreement. Unlike the interest rate, the A P R includes certain charges and fees to reflect the total cost of the loan on an annual percentage basis. Please see the following question for information regarding the A P R.
The Annual Percentage Rate (A P R) is the total yearly cost of a mortgage stated as a percentage of the loan amount, which includes such items as the interest rate, private mortgage insurance and loan origination fees (points).
Pre-paid interest is an amount you pay at closing which represents the interest that will accrue between the day your loan closes and the last day of that month. For example, if your loan closes on the 20th day of a 30-day month, at closing, you will pay interest owed for the remaining 10 days of that month.
Pre-paid interest covers the period between the day of your loan closing and your first mortgage payment. For each day between the closing date and the following 1st of the month, you'll pay daily (per diem) interest.
An extended rate lock option may be a good option when building a new home. Frequently, a new home will not be completed within the standard rate lock period. If this is the case, an extended rate lock may be a smart move for you. BMO provides options offering up to fifteen months of interest rate protection, depending on your product choice.
Convenience. By having a property tax escrow account with BMO, you can budget by spreading the annual cost of property taxes throughout the year, and BMO will make property tax payments on your behalf and you will not have to worry about missed or late payments.
There are several convenient ways to apply for a BMO Harris Mortgage. Work with a Mortgage Banker who will explain the entire mortgage process, describe typical costs up-front, help find the right mortgage for your needs and guide you through the application process.
Frequently asked questions
*footnote * details,Special offers are subject to change. The closing cost discount offer is available on purchase applications received from December 1, 2022 through January 31, 2023. The closing cost discount offer consists of an $800, $1,300 or $1,500 closing cost discount depending on loan amount and a $500 Auto Pay closing cost discount. They are available subject to the following:
Closing Cost Discount: The closing cost discount may be applied to the purchase mortgage at closing. It is available for conforming or jumbo loans (loans in excess of $647,200) secured by 1-4 unit homes used as primary or secondary residences and investment properties. Loan amounts up to $399,999 qualify for an $800 closing cost discount, loan amounts between $400,000 and $999,999 qualify for a $1,300 closing cost discount and loan amounts of $1,000,000 or greater, qualify for an $1,500 closing cost discount. This closing cost discount does not apply to refinances.
Auto Pay Closing Cost Discount: The Auto Pay closing cost discount is available when you authorize BMO to withdraw your loan payment each month from an eligible BMO checking account using Auto Pay. Closing cost discount of $500 with Auto Pay from your BMO Harris Smart Money, trademark, Account, BMO Harris Smart Advantage, trademark, Account, BMO Harris Select Checking, registered trademark, account, BMO Harris Premier, trademark, Account or BMO Harris Portfolio Checking, registered trademark, account. FHA and State Bond Program loans do not require Auto Pay to receive this discount.
Footnote 1 details, Your initial interest rate is fixed for a short period of time, after which it will convert to a variable rate and adjust semi-annually during the life of your loan if the index changes. Once the loan converts to a variable rate, interest rates and payments may vary. Changes to your property taxes and hazard, flood, or other required insurance may cause your total monthly mortgage payment to change periodically during the term of your loan. Historical performance of Adjustable Rate Mortgage (A R M) indexes does not predict future performance and is only one factor to consider when choosing a mortgage loan. Certain restrictions and fees may apply.
Footnote 2 details, Auto Pay means periodic scheduled payments automatically deducted from your BMO checking account, as applicable, to pay the loan. When you sign up for Auto Pay, you authorize the Bank to draw your account for all amounts then due, including any late fees and any other charges. Checking account opening subject to bank approval.
Footnote 3 details, The closing cost discount is available when you authorize BMO to withdraw your loan payment each month from an eligible BMO checking account using Auto Pay. Closing cost discount of $100 with Auto Pay from your BMO Harris Smart Money™ Account, BMO Harris Smart Advantage™ Account or BMO Harris Select Checking® account. Closing cost discount of $200 with Auto Pay from your BMO Harris Premier™ Account or BMO Harris Portfolio Checking® account. FHA loans do not require Auto Pay to receive this discount. State Bond Program loans are not eligible for the Auto Pay closing cost discount.
Footnote 5 details, You should always talk to your BMO Mortgage Banker to assist you in determining the product that is right for you. The calculator headings are merely labels for your convenience. The calculator results are estimates only for informational purposes and should not be construed as advice or a recommendation.
Footnote 6 details, This is an overview of the general steps to the mortgage process. This is not a complete description of the mortgage process, and there may be other requirements that apply. This information is not intended to be tax or legal advice. BMO does not provide tax or legal advice and you should consult your tax or legal advisor for tax and legal advice. The Consumer Financial Protection Bureau offers additional home buying resources. You may visit http://www.consumerfinance.gov/owning-a-home/loan-options for more information.
Footnote 7 details, Visit the BMO Harris Security Center for details.
Footnote 8 details, Certain conditions and limitations apply. Digital Banking Guarantees apply to personal accounts only and do not apply to commercial or business accounts. Please see the BMO Digital Banking Agreement found at bmoharris.com/legal for full details.
Apply for your Mortgage now!
Here’s all you need to get your application started:
- Your Social Security Number
- Details on your assets and income
We’ll guide you through the rest.
A mortgage banker will be available throughout the process to answer any questions you have and will follow up after you have submitted your application.