During my open house this weekend, I had the opportunity to talk with over 10 different buyers. Out of those buyers, less than half of them have been to a lender to obtain a pre-approval letter. I was shocked. As I talked with the buyers that had not met with a lender, I asked how they had determined which houses that they had on their list to go through. I explained to them the importance of meeting with a lender sooner than later. Especially since there were so many interested buyers in the house, they were at a great disadvantage in writing an offer without a lender letter to show what they could afford. It was like the light bulb went off. Even more shocking is that at least two of these buyers claimed that they were working with an agent.
In the process of buying a home, I meet with my buyers for a consultation where we discuss the process including the financial piece of the puzzle. It is important to look at the right priced home and meeting with a lender is of utmost importance.
The benefits of meeting with a lender are as follows:
1. Finding out the cost of borrowing money per thousand and their "credit limit" allows buyers to make better decisions when it comes time to write an offer.
2. Learning the estimated closing costs allows the buyer to negotiate those costs as a credit from the seller if needed.
3. Having a lender letter gives the buyer leverage when writing an offer. There are too many agents that will send an offer without a pre-approval letter and those buyers are at a disadvantage.
I would love to meet with you to discuss the homebuying process and how we can get you the best house for the amount that you want to spend. There is a shortage of homes on the market in many price ranges and the chances of competing are high. Being prepared is the key!