Here you are ready to make an offer on a house. Now this is when your realtor tells you that need to
get a “pre qualified” letter. Now how things go when you view things which sometimes work out. Get yourself
ready so that your lender to submit with the contract. You receive the pre qualified letter. and give it to your
realtor. However then submitted with the contract and accepted by the seller. The contract states that you must
close within a few days and you could not be more excited. Your lender calls you to let you know that
your loan was not approved.
You may be when you view things which sometimes wondering how could something like that happen. You were
pre-qualified! Well, this is one of those times when you must understand what the definition. There are significant
differences between being pre qualified letter. and being pre approval letter. Knowing what they are beforehand can
determine whether you actually close on the transaction or not.
There are many cases that the home seller only found out several weeks later that the person yet ready to buy
is a flake not really get the mortgage loan. When this happens, you not only have to let the buyer back off, but
also have to refund the earnest money to the homebuyer. Remember when you are issued pre qualified letter. or pre
qual does not mean the homebuyer can always get a loan. A pre approval letter. from a lender does qualify at a much
greater rate of success. So you need to understand this is the case most of the time, home sellers accepted offers
without asking the question if the homebuyer is qualified with a mortgage lender.
So you are now armed with the pre approval letter. that can help you find the home you are qualified to buy
taking into consideration of a satisfactory review, the credit underwriting is completed. Remember that in today's
times a pre qualified letter. is not enough in today’s market, you need to be approval by a real lender.
Finding the house you want, you must understand the difference between these two
terms. If you are considering asking for a pre qualified letter. Awaiting friend can cause much stress
that you just want a letter. So that the pre qualified is subject to further review and due diligence, which a
direct lender like us, can do for you.
That way you can submit your offer with confidence, knowing that the loan is
ready to go as soon as you get the contract and the appraisal. Let us do this new aspect, which is very important
to have that “pre approval” when you submit the contract. The process usually takes a little more time, but that is
where a little planning comes in. pressure, and anxiety on everybody’s part when you do find and not
loose your hope. Give yourself time, so you get started just a few weeks before you plan to go house hunting, this
will save an enormous amount of time.