it’s true that mortgage lenders are tightening the purse strings, home
loans are still out there and readily available to those who qualify.
The only way you will know if you do qualify is to seek a mortgage
A mortgage pre-approval will help:
confirm your eligibility for a home loan
establish a price range
give you confidence in the home buying process
reassure home sellers of your ability to secure a loan
loan application information will be the basis for your mortgage
pre-approval. Lenders will also weigh heavily three credit reports and
income verification. Before you shop for a mortgage pre-approval, review
your own credit history. Determine what you can comfortably afford to
pay for housing including taxes and insurance.
you visit a lender, or fill out a loan application, check your credit
report for potential problems. Your credit score will help determine
whether or not you get a loan, the terms of the loan and the interest
rate you will pay.
law entitles you to one free credit report in a 12-month period from
each major credit reporting agency. Get a free report at www.annualcreditreport.com.
Check the report for errors and resolve errors before you apply for a
loan. You can also call the three major nationwide consumer credit
reporting companies for your free report:
Equifax: 1-877-576-5734; www.equifax.com
Experian: 1-888-397-3742; www.experian.com/fraud
TransUnion: 1-800-680-7289; www.transunion.com
Mortgage Pre-approval vs. Mortgage Pre-Qualification
mortgage pre-approval is not the same as a mortgage pre-qualification.
Many people confuse the two terms. A mortgage pre-qualification is the
first step to getting a mortgage pre-approval.
the mortgage pre-qualification process, a mortgage lender will evaluate
your financial status based on information you give over the telephone
or internet. It does not usually require an application fee or require
you to substantiate income and expense claims. The lender will determine
how much you are likely to be able to afford for housing. It is
important to be completely honest with your lender and yourself during
mortgage pre-approval is more formal. It will require fees including an
application fee and a credit report fee. You will be asked to provide
documents to verify employment or other forms of income. The mortgage
lender working on the mortgage pre-approval will pull your credit
reports and review your credit history. Mortgage pre-approval is a
better guarantee of your eligibility than a mortgage pre-qualification.
Mortgage Pre-Approval Gives You Bargaining Power
shoppers are often disappointed when they are turned down for a loan.
Home sellers suffer too when their intended buyer is not able to secure a
loan. Sellers are wary of buyers who may not qualify for a home loan. A
mortgage pre-approval will give you bargaining power.
company has a vast network of lenders and other real estate transaction
support services. Contact us today for help getting pre-approved for a