What’s the first thing you need to do when deciding to purchase a home? Is it figuring out what type of house you want? Is it pinpointing the exact location of where you want to live? Or, is it calling a realtor to schedule the beginning of your house hunt? Of course, the answer to all of these questions is no.
Prequalifying for a Home Mortgage
The First Step:
When deciding to purchase a home, we recommend that you apply for a mortgage pre-qualification letter from an approved mortgage company in MA like us. This provides an estimate of the size of the mortgage loans for which you may qualify. It also provides verification that you have sufficient funds and income for a down payment.
But why do you need to take this very important first step? Well, sellers and real estate agents usually want to see a pre-qualification letter to be reassured that you are financially able to purchase the home. Sellers and real estate agents tend to take prospective buyers more seriously if they are pre-qualified. It’s too often that homeowners and buyers alike get excited about an offer and then the prospective buyers can’t even get approved for a mortgage. Don’t let this happen to you. Instead, take the quick and easy steps to pre-qualify for a home.
The pre-qualification letter is not a guarantee of mortgage loan approval and is subject to other terms and conditions. This pre-qualification process also helps you determine what type of house is right for you. You don’t want to waste your time looking for a house in areas that are not economically feasible. Conversely, you may want to buy the nicest house you can afford. So get a pre-qualification letter and put an end to all the guessing. Our mortgage company has loan officers that can give you an idea what kind of mortgage you can pre-qualify for.
When you pre-qualify for a home loan, it helps to demonstrate that you may be eligible to make the purchase. It may provide give your offer precedence over another offer that doesn’t have a letter of pre-qualification. For example, two buyers may put similar offers in at the same time, but only one has taken the step to pre-qualify for a mortgage loan. The homeowners are usually urged by their real estate agent to take the offer with the pre-qualification, because it may be more likely that a pre-qualified buyer will get approved for a mortgage. The homeowners may even be more willing to negotiate with someone who is pre-qualified, to lessen the chance of that it will not be a wasting time and effort.
Before you call a real estate agent, call Drew Mortgage Associates to find out exactly what type of home matches your pre-qualifications. We have mortgage loan officers trained to give you an idea of the price range you can afford. It may be the most important part of your hunt for a new home.
For your convenience, we’ve included a mortgage loan calculator to give you a better idea of how the process works. Please visit the calculator section of the website to learn more about getting pre-qualified.