Tips for Buyers Suzanne Marina Jasso August 20, 2018
It used to be that buyers could go house shopping and when they have found their dream home, then they go to get pre-approved. However, in today’s market, that has proven to be one of the least effective methods in landing the dream home.
Most lenders can pre-qualify you for a mortgage over the phone. Based on general questions about your income, debt, assets, and credit history, lenders can estimate how much mortgage you qualify for. However, being pre-qualified and pre-approved are different things. Pre-approval means that you have applied for a mortgage; you have filled out the mortgage application, received your credit report, and verified your employment, assets, etc. When you are pre-approved, you know exactly what the maximum loan amount will be.
A pre-qualified letter is not verified and in essence, does not count for much if you are competing with other buyers who are pre-approved. When you are pre-approved, you and the seller know exactly how much house you can afford. It gives you credibility as an interested buyer and lets the seller know immediately that you will qualify for a loan to buy their property.
In addition to being pre-approved, it’s important to be pre-approved with a legitimate lender. Legitimate lenders include: banks, mortgage bankers, credit unions, savings and loan associations, mortgage brokers, and online lenders.
Some lenders to avoid: those who lose a form or misplace a file, those who gather information from you in an unorganized manner, those who are not informed about interest rates, points, or costs, and those who cannot provide you with the right information.
Exploring How Technology is Shaping the Real Estate Market in Southwest Alaska
Current Trends and Insights in Southeast Alaska's Real Estate Scene
Explore Sitka's Hidden Gems for Family Fun
Exploring Nature's Playground in Southeast Alaska
Experience the Thrill of Nature in Sitka's Untamed Wilderness
Offering adjustable rates allows lenders to transfer part of the interest rate risk from themselves to the borrower.
They are listed in the order that they should appear on a Good Faith Estimate you obtain from a mortgage lender.
Exception of no asset verification loans, lenders want to verify where the money for your new home will be coming from.
Real property can be incredibly valuable and the question of how parties can take ownership of their property is important.
I know that hard work, knowledge and dedication are required to earn my client's business, respect, and most importantly their trust. I would be honored to work with you in any real estate dealings