When buying a home, getting a pre-approved mortgage is always a smart step when starting your home search. Home buying can be a daunting and intimidating task but by taking this measure, you are making the process that much easier. It may even give you an advantage.
When getting pre-approved, you are having a bank investigate your credit history so that your application for a mortgage can be determined. These pre-approvals do have a life-span, but it helps prove your home buying ability. This shows sellers how serious you are when putting an offer on a home.
With all of this said, getting pre-approved is not a speedy transaction. Even with the lengthy timeline, it is still worth the wait. Getting pre-approved requires starting the process before you even find a home you want to put an offer on. You will need to complete a mortgage application with the appropriate documents related to your financial history. (See our Mortgage Requirement List below) This allows the bank to determine how much money they are willing to lend you.
With this confirmation, you can modify your home search at that price point or lower. You can also estimate the interest rate you will be given at the end of the pre-approval process.
The advantage of all of this is that pre-approval allows for a quick moving transaction.
So if you are ready to buy a home, getting pre-approved is a smart move. Sometimes sellers won’t even look at buyers that don’t have pre-approval. Gain the competitive edge.
When you are an informed buyer, you’ll make the best decisions for one of the most important purchases in your lifetime.
We at Hegarty Financial Management are dedicated to bringing you the best service and insight. Contact us today to discuss your mortgage needs.