Get a Mortgage Pre-Approval

You don’t want to fall in love with a property only to find out it’s outside your price range.

That’s why in order to work with me you would need to get a Mortgage Pre-Approval Letter. This is a document from your bank or other lender stating how much of a mortgage they are willing to give you. There are two advantages to getting this pre-approval:

• It gives you the peace-of-mind of knowing you can afford homes you view on the market, and won’t have problems arranging financing.
• It’s a sign to sellers that you are a serious, prepared buyer – which gives you the edge when making an offer.

You can arrange for a Mortgage Pre-Approval with your bank or other lender, or by working with a good mortgage broker. I’m well-connected in the local real estate scene, so if you want me to recommend reputable brokers or lenders, please contact me.

How Much Home Can You Afford?

You will need to ask your lender this. Lenders will typically ask for the following documents for a pre-approval letter:

• W-2s (last 2yrs)
• Pay stubs (last 2 months)
• Bank statements: 2 most recent checking and savings account statements
• Copy of driver’s license or ID

The lender will also run your credit score. A minimum credit score is required but varies based on the type of loan you are applying for. E.g. Minimum credit score of 620 for a conventional loan. When shopping for a mortgage you have a 45 day window before different lenders count it as greater than 1 credit check. So don’t be scared to shop around with different lenders for the first month and half.

During the home buying process it’s important NOT to:

• Buy or lease a car
• Change jobs
• Miss a bill payment
• Open a line of credit
• Move money around
• Make a major purchase