The Importance Of Getting A Preapproval
Buying a home can be an emotional decision. You don't want to fall in love with a home and find out later you don't qualify to buy it, can be heart breaking.
It's helpful to consult with a mortgage professional early. In today's real estate market, Realtors won't take you seriously unless you've been prequalified first before making an offer to buy a home.
What Is The Ideal Mortgage Payment That You Want To Make Each Month?
Before I ask for tax returns and paystubs etc... I ask all all my clients who are buying a home, what is the ideal mortgage payment that fits your budget. Once I get that figure I let you know what price of a home that will buy. Most times that payment doesn't buy what the homebuyer thought it would buy. You want to own the house not have it own you. It's good to know this information before you start shopping for a home, instead of finding out in the middle of the home loan process.
Pre-Qualification or Preapproval For A Mortgage?
Yes there is a difference. A pre-qualification means that a Loan Originator like myself has run your credit report and scanned your assets and feels that the loan looks good and he/she is recommending the loan for approval. In today's lending frontier that's not enough. A preapproved mortgage goes a step further. It means that the Loan Originator has run taken an application from you, has obtained income and asset documentation as well as signed preliminary loan disclosures from you and has run your loan scenario thru an automated FNMA online loan underwriting system. This system, assuming the data input is correct, will give an approved/eligible response or ineligible response within 1 minute. This is what Realtors are looking for on lender letterhead.
Assuming your ideal mortgage is close to the actual price of a home you are looking for, I will help you calculate the loan amount you can qualify for based on your income documentation. Some other loan documentation that needs to be reviewed for the prequalification are your debts, work and residence circumstances, the available funds for down payment, required reserves, and some other things. We award you a prequalification letter after you qualify. A preapproval letter may be given once your loan has been reviewed by an automated or human underwriter. The final step would be a loan commitment which is given when your entire file, including the appraisal, is validated by a human underwriter. The commitment is given toward the end of the loan process.
Preapproved Mortgage Power
Holding your preapproval letter, a number of advantages are yours at the point you find the house you want to make an offer on. First, it lets you know the amount that you are able to offer. Being preapproved also will make your offer more attractive to the home seller, like you were bringing them a suitcase of cash! They shouldn't need to wonder if that they have been wasting their time if you can't have the ability to qualify for a high enough mortgage loan, especially since I've run your loan through the FNMA automated underwriting system.
One On One Consultation
You can certainly use the calculators here on my site to get an idea of how much mortgage you can afford - but it's also essential that we speak to make sure all bases are touched. That way, I'll be able to help you get your pre-qualification letter and/or preapproval letter. Then, I'll make sure I have the right mortgage program to select from for your situation. Let me help you get started: Contact me at 800-506-0632
check the boxes and fill in some brief info below, and once I get your info, I'll get back to you at my earliest opportunity.