If you need assistance, please call 703-743-4410

A Crucial Step in Your Home-Buying Process is the Pre-Approval

Friday, October 28, 2022   /   by Laura Larson

A Crucial Step in Your Home-Buying Process is the Pre-Approval

Getting a pre-approval letter is one of the first things you should obtain if you want to purchase a property. Having a mortgage pre-approval is a great starting point, especially in the current market where mortgage rates are higher than just a few months ago.

What is a Pre-Approval?
To better understand why pre-approval is important, it is good to know what it is. The Mortgage Reports explains it like this: “When you’re ready to take the leap into homeownership, your first step is mortgage preapproval...A mortgage pre-approval is when a lender determines you’re qualified for a home loan. Your preapproval letter shows the maximum loan amount you’re approved for (your home buying budget), as well as the specific interest rate and loan term you can expect.”

A lender will examine your finances as part of the pre-approval process to decide how much money they are willing to lend you. Your lender will then provide you with a pre-approval letter that states your price range and the amount of credit you are eligible for. As a result, it will be simpler for you to begin your property search with a solid number at hand. A firm grasp of your numbers is more crucial than ever now that mortgage rates are rising and having an impact on affordability.

Pre-Approval Signals You’re a Serious Buyer
Another added benefit is that a pre-approval letter lets the seller know you’re qualified to buy their house. A recent article notes: “...getting pre-approved can actually improve your chances of falling into the sellers’ good graces, and you’ll want to get it done as early as you possibly can in the home-buying process.”

Preapproval is still a crucial component of making a solid offer, even though we don't see bidding battles this year as the market keeps changing. It might provide a seller additional assurance because it demonstrates your serious interest in their house and your qualifications as a buyer.

Bottom Line
It's important to get a mortgage pre-approval. It gives you a better idea of what you can finance and demonstrates to sellers your commitment to buying their house. Get in touch with Laura Larson and a reputable lender right now to get the resources you need to be a successful home buyer in the current market.
Larson Fine Properties
Laura Larson
7294 Joffa Circle
Warrenton, VA 20187

The data relating to real estate for sale on this website appears in part through the BRIGHT Internet Data Exchange program, a voluntary cooperative exchange of property listing data between licensed real estate brokerage firms in which Larson Fine Properties participates, and is provided by BRIGHT through a licensing agreement. The information provided by this website is for the personal, non-commercial use of consumers and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing. Some properties which appear for sale on this website may no longer be available because they are under contract, have Closed or are no longer being offered for sale. © 2022 BRIGHT, All Rights Reserved Information Deemed Reliable But Not Guaranteed. Data last updated: November 30, 2022 2 AM.
This site powered by CINC: www.cincpro.com