Before you begin house hunting, it is important to be Pre-Approved by a reputable Loan Originator. This will help to determine your buying power. It will be necessary to submit earning and debt documentation.Your credit score will be checked. The loan originator will review the gathered information and recommend a price range that will work best with your finances.
This will save both you, and your Realtor time and effort. By looking at affordable properties, you avoid the disappointment of falling in love with a property, only to find out it's out of your range. When you see homes in the proper price range, there will be no comparing and wishing for what you can't have, but rather the satisfaction of finding the right fit your you and your budget.
This Pre-Approval is part of the package your Realtor presents an Offer to Purchase. Most home owners require the pre-approval as "proof" that you are a worthy client and will be able to follow through with the purchase.
Once you have a signed contract to purchase a home, you must choose a lending or mortgage company from which to obtain the loan. It is not necessary to use the same company which you received your pre-approval. It is wise to choose a local company that can provide hands on service. A good loan originator will meet with you face to face.
The loan officer will need data on your place of employment, assets, and liabilities such as debts from credit cards or car payments. This will be more detailed than the info gathered for your pre-approval.
Make sure you understand all of the terms and conditions associated with the loan. Understand what the interest rate means, possible private mortgage insurance, length and interest involved with the loan. Don't be afraid to ask questions!
Randi Steckler will be happy to provide references to reputable mortgage companies.
Randi Steckler is an Accredited Buyers Representative. She is a Realtor with RE/MAX Executive Realty. You can reach Randi direct at 508-944-0090, or by E-Mail at firstname.lastname@example.org
Randi has the experience working with both Buyers and Sellers that is needed to achieve success. See Randi's blog For valuable information regarding real estate in the MetroWest area.
Want to see all available homes? See Randi's website.
If you want ideas to narrow down your home search. Read my article Finding The Right Home
Curious if you should use a Buyer's Agent? Read my article on The Benefits of Working With a Buyer's Agent
A Warm Home is a Sign of a Happy Heart!