Today we’re talking about why it’s critical to get a pre-approval before you start looking for homes. 


These days, with the market being so competitive, it is important to talk to a lender before you start the buying process.  One major reason is that you, as a buyer, cannot  write an offer without a pre-approval. A seller will want to see your approval letter and will probably even want to call your lender for verification. And if you don’t  have a lender, this is going to be a problem!  It’s really important to talk to a lender before you begin your house hunting journey.  In fact it’s number 1 on the list!  Don’t pass go, don’t collect $300!

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A lender will help you find out: 

  1. How much you’re approved for. Your approval gives you the maximum house price you can purchase with a mortgage . 
  2. The loan type you’re approved to secure. There are an assortment of loan types such as:  FHA, conventional, VA as well as others. Each with different qualifications and benefits. 
  3. Concession opportunities. Buyers will sometimes include concessions in their purchase agreements. That means, basically, that you’re asking the seller to pay for some of your closing costs. Again, this option is discussed and approved during the pre-approval process. 


Your lender will be able to tell you all of that during the pre-approval process. 

It’s extremely important to know this information up front so that:


  1. You’re not looking at houses you can’t afford due to financial reasons. 
  2. You’re not looking for houses you’re not qualified to purchase due to mortgage qualification reasons.

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I can’t tell you how many times that I’ve had buyers that get ahead of themselves. They go out, start looking for homes, find their dream house, and haven’t received their pre-approval yet. They want to write an offer on the house and find they have to work backwards and talk to a lender after finding their dream home. Then, during the time it takes to get the pre-approval letter, the house goes under contract and their dream home is just that… a dream.


Don’t let that happen to you. 


Don’t be the person to lose the house of your dreams because you haven’t gone through the right steps. Make sure to go to a lender first! You deserve the home of your dreams! 


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Need help finding a great lender? Let’s talk. I have lots of great lender recommendations and I’m happy to help in any way.