Buyers: Have You Met with a Lender Yet?

By
Real Estate Agent with Cedar Rapids/Iowa City, IA KW Legacy Group S44645

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.  

 

money vault

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!  

 

Keep smiling!

 

Karen

Posted by

 

Karen Feltman, REALTOR®, ABR, AHS, CHMS,                                                                      CNE,CRS, e-Pro, green, GRI, SRES, TRC

Keller Williams Legacy Group

4850 Armar Drive SE Ste B

Cedar Rapids, Iowa 52403

Email: karenfeltman@gmail.com

Mobile  319-521-0701

www.KarenFeltman.com

Licensed in the State of Iowa

© 2010-2018 by Karen Feltman, Cedar Rapids/Iowa City Relocation Specialist 

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Topic:
Home Buying
Location:
Iowa Linn County Cedar Rapids
Groups:
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Realtors®
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Iowa Real Estate
Addicted to Active Rain
Tags:
buyer representation
home consultation
cedar rapids buyer tips
karen feltman realtor
cedar rapids buyer agent

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Rainmaker
132,894
Mike Baltierra
Rise Realty - Eastvale, CA
Full Service at Your Service Realtor-Eastvale CA

First of all congratulations on a great open house. That's a lot of potential buyers. And second it's not that shocking. A lot of buyers don't understand the process for varies reasons.

Jan 07, 2019 06:20 AM #1
Rainmaker
837,557
David Popoff
DMK Real Estate - Darien, CT
Realtor®,SRS, Green ~ Fairfield County, Ct

I tell all my buyers, first thing is to get a pre-approval letter from your mortgage broker.... no surprises.

Jan 07, 2019 06:31 AM #2
Rainmaker
4,041,863
Joan Cox
House to Home, Inc. - Denver Real Estate - 720-231-6373 - Denver, CO
Denver Real Estate - Selling One Home at a Time

Karen, great post, and is ALWAYS better for buyers to get approved prior to looking for the home.

Jan 07, 2019 06:45 AM #3
Ambassador
779,294
Doug Rogers
Bayou Properties - Alexandria, LA
Your Alexandria Louisiana Agent

Love this! Many buyers will go online and look at a mortgage calculator. This devices are only as good as the information provided. Nothing beats sitting down with a local bank or mortgage broker.

Jan 07, 2019 07:34 AM #4
Rainmaker
3,978,945
William Feela
WHISPERING PINES REALTY - North Branch, MN
Realtor, Whispering Pines Realty 651-674-5999 No.

You are way behind the 8 ball if you are looking but have not talked to a lender

Jan 07, 2019 09:15 AM #5
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Karen Feltman

Relocation Specialist in Cedar Rapids, Iowa
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