Please review your buyers pre-approval letter to avoid leading them to homes that are not really qualified to purchase. If the only documentation they have from there lender says one of the following sentences please do not continue to show your buyers anymore properties: 1. Based on current income 2. Review of W-2's. There are several other items to list but why waste anymore time. As I am writeing this new blog entry this may be my calling to educate new REALTORS on not how to play the game. As time passes you will be given a referal or two and the buyers who will let you know they are pre-approved? They think there pre-approved! Our job is to educate them on what the actual letter says. We must read between the lines before we take on these new buyers to any homes. My point is if you don't take the time in the begining you will not be going to a closing anytime soon.
You may also find out your buyer may be told to look for a house in a certain price range and may really not qualified to be looking at homes they feel will fit there family needs. Example they are looking for homes in the $200,00 dollar price range. After you secure accepted offer with signatures the lender says they should be looking for homes in the $100,000 price range. Wow! can they do that? Yes the same lender within two weeks of working with my buyer informs him he is now not qualified to be looking for homes he was originaly told he was qualified to purchase or technical terms "approved" to look at.
Stop! Drop! Phone! Call the lender call the Police! Call on God because this lender has just informed there client they can start looking for a new home. NOT TRUE! They have not truley been pre-approved the have a letter that basically says they met with a lender, sorta like a certificate you get when you take a CE Class-"You were there"
Please enter your personal experience as I will be adding additional information about this subject.