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Obtaining a Preapproval Letter

Did you know that many homeowners won’t even entertain an offer from a buyer who isn’t preapproved for a mortgage loan? It’s hard to take someone seriously when whether or not he or she can afford to buy the house is a mystery.

A loan preapproval letter gives you street credibility – it shows the seller that you are a serious shopper and you have what it takes to buy the home.

But that’s not the only reason to pursue mortgage pre-approval. In a fast-moving market, especially one in which multiple offers are common, you’ll need to act quickly when you find a home you like. If you haven’t started the loan process you may miss out on that home.

So, after choosing your agent, the next stop on the road to home-ownership involves shopping for a lender, comparing loan products to choose the best one for your circumstances and obtaining a loan pre-approval letter.