Benefits of Pre-Approval
The Pre-Approval Letter can be an invaluable tool in the home buying process. A “pre-approval” means the buyer has taken the time to meet with a loan officer and their credit has been reviewed and a pre-approval letter has been generated by the loan officer. The buyer now knows how much money he can borrow for purchasing a home. This is a good estimate to use for a guide until a final loan commitment has been issued. Classic Homes Realty agents strongly suggest that buyers have at least begun the pre-approval process before searching for a home. Knowing what price range you can afford will save time and effort for both the agent and the buyers. The pre-approval letter also has its advantages when buyers are making an offer on a home. The agent can submit the letter to the listing agent to show the seller the buyer’s financial ability. This letter should only be submitted with the permission of the buyer. The pre-approval letter can often ease the seller’s anxiety while waiting for the buyer’s final loan commitment which usually takes between three to six weeks depending on the loan and other factors that may be relevant. For more information on the pre-approval process or if you are ready to find your dream home, CONTACT US today!