|
 Are you pre-qualified or pre-approved for a loan?
Before you begin to shop for a new home, let Residential Mortgage figure out how much you can afford. This will put you in a better position as a buyer. It is important to understand the distinction between being pre-qualified and being pre-approved. The difference can be crucial when you make an offer on a property and begin negotiations.
To get pre-qualified for a loan, we collect information about your debt, income and assets. We look at your credit profile, assess goals for a down payment (if needed) and review loan programs that work for you. We issue you a pre-qualification letter indicating the amount you are pre-qualified to borrow.
It is important to understand that a pre-qualification letter is just an estimate of what you are eligible to borrow, not a commitment to lend.
Getting pre-approved for a loan gives you a competitive negotiating advantage when the time comes to bid on a home because you have been approved for a loan for a specified amount.
To be pre-approved, you need to
complete an on-line mortgage application and provide us with various information verifying your employment, assets and financial status - such as W-2 forms, bank records and credit card statements. We review your mortgage options and submit your application to the lender that best meets your needs. Once the application process is complete you will receive a pre-approval letter indicating the amount your lender is willing to lend you.
A pre-approval letter is not binding on the lender; it is subject to an appraisal of the home and certain other conditions. If your financial situation changes (i.e. you lose your job), interest rates rise or a specified expiration date passes, your lender must review your situation and recalculate your mortgage amount accordingly.
Please contact one of our Trusted Advisors today or simply complete our online application now and we will contact you shortly.
|
