A pre-approval letter from your lender is written assurance that you are able to borrow money to purchase a home up to a certain amount. Its based on your credit history, employment, income and assets. When you walk into a contract negotiation with your letter, it tells the seller that you are serious about purchasing their home and that you have taken the extra steps to make purchasing a home a reality. Here are a few reasons that it is important to get pre-approved.
You will know how much house you can afford -- There is nothing worse than looking at homes to find out later that your mortgage lender won't approve you for. It is much better off to know in the initial stages what price range you need to be in so you aren't disappointed later. This will also help your real estate agent narrow down the options for homes to look at and makes the selection process more efficient.
It adds clout -- There are situations when multiple offers can come in for the house that you love. Sellers will normally lean towards the offer that is accompanied by a pre-approval letter. Having a pre-approval letter instills confidence that the buyer is financially capable of buying the house.
It saves time -- Obtaining a home mortgage can be a lengthy process. By getting pre-approved ahead of time shortens the time it can take to get to the closing table, which means you can move into your new home that much faster.
Some agents won't work with you without it -- Some agents feel it is a waste of their time if you haven't already taken the steps to get pre-approved. By already having your pre-approval letter in your hand when you start your home buying process, it guarantees you that your agent will be working hard to find you that new home.
It just makes sense. By having a pre-approval letter in hand when you start your home buying journey allows you to know up front what you can and cannot afford. It gives you that little something extra that might make your offer stand out when multiple offers are on the table. And it saves you time.
Author:Andrea Ackerman Phone: 334-717-6689 Dated: March 31st 2017 Views: 104 About Andrea: ...
View our latest blog posts in your RSS reader. Click here to access.
Cardinal Realty Group, LLC is dedicated to serving the Central Alabama River Region and surrounding areas in residential sales and property management. Our growth from referrals from satisfied clients is a testament of our dedication to excellence.
Our Cardinal Rule is that we are committed to excellence in customer service and communication.
We will optimize integrity, energy, hard work, and creative customer service in every detail of our client's real estate transactions. We want our clients to know and feel as though they are important to us and we care about them and understand their needs and how to help them. We are honest and have ethical business practices. Our response time to our clients and customers set us apart from others. We are quick to respond to our client's and customer's questions, needs, and concerns.
Not only do we gain happy clients through our transactions, we also gain and build lasting relationships!
The Top Landscaping Trends for 2018 DAILY REAL ESTATE NEWS | WEDNESDA
"Sarah never gave up. We viewed ten homes before my husband and I were completely happy. She made the process so easy with no worries on our end. From beginning to the end she was there. And still is now if we need her.