Compass

Get Pre-Approved

Does it Help to be Pre-Qualified by a Lender?

The pre-qualification process can be completed fairly quickly, based on less information than is required for getting pre-approved. While it is fast and it does help, a pre-qualification letter is an opinion from a lender of the maximum amount of real estate you can qualify for. In a competitive seller’s market, an offer from a buyer with a pre-qualification letter could lose out to a person who is pre-approved.

Get Pre-Approved by a Lender

There are several benefits to going the extra mile and getting a pre-approval letter. First of all, you will know exactly how much real estate you can afford. When you find a property you want to buy, your offer will be in a better positioned than someone less prepared. Finally, being pre-approved is more efficient; it reduces the amount of time it will take your lender to fund your loan. Be prepared to provide comprehensive documentation, which the lender may independently verify, including but not limited to:

  • Job and career status
  • Income
  • Monthly debt payments
  • Cash available
  • Total assets and debts
Reudy & Associates’ Blog
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Where We Are Now: June 5, 2020

Work From Home — Day 77 Our Journey – Setbacks hurt, again! 4:50AM PST Happy Friday Team – After Kent said to me, “You were not listening after NO…but we want an offer from you to buy Pacific Union,” we stayed and talked strategy ... read more

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Where We Are Now: June 4, 2020

Work From Home — Day 76 The Beginning of Our Journey – Setbacks Hurt! 5:15AM PST Team – It was January 2009 when I found out Pacific Union was for sale. GMAC had acquired Pacific Union in 2000 and Brookfield, Toronto, Canada had acquired G... read more

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Where We Are Now: June 2, 2020

Work From Home — Day 74 The Role of the Fed from John Burns 5:05AM PST Team – At the onset of SIP we immediately re-subscribed to the research from John Burns Real Estate Consulting. John Burns, CEO, became a friend in 2013 and a client in 2... read more