I’m sure everyone has called to inquire about a house for sale after driving by or viewing online. One of the first questions the agent asks is “are you preapproved ?” Some folks are insulted by this personal question during an initial call with a realtor. There are several reasons it’s important to get a pre approval before staring to view homes.
First, let me explain the difference between a pre approval and pre qualification. A pre approval is when you have provided the necessary documentation to your mortgage lender to know exactly what you qualify for in purchasing a home and what you can realistically afford. A prequalification is less accurate and considered to be more like an estimate.
A pre approval carries much more weight than a prequalification when submitting an offer for a home. It is showing the seller you are financially sound and able to complete the transaction. There are many steps in the mortgage lending process. By having a pre approval, you are almost a few steps a head and it can shorten the length of time in the lending process.
By obtaining a pre approval you will narrow down the list of potential homes and keep the search within your means. This is the first step in becoming a home owner. Even if you aren’t thinking of purchasing for 6 months to a year; it’s not to early to speak with a lender regarding the approval process.
Call or email me to discuss what it takes to become a home owner. Stephanie.geddings@remax.net 443.677.3289