What could be a better Christmas gift than a new home? While it’s unlikely anyone will buy you one – you could always treat yourself. Get pre-approved for a mortgage and take Christmas shopping to a new level!
First of all, let’s make an important clarification. Pre-qualifications are not the same as pre-approvals.
Pre-qualifications will give you an idea of what kind of loan you may qualifiy for and can typically be completed in minutes. This informal estimate may be just fine for those in the very early stages of home buying process.
Pre-approvals are more involved and are a better indication of your ability to fully qualify for a mortgage loan. With a pre-approval, we will gather all the information we need to begin the loan process. This typically involves a credit check as well as income and asset verification. Typical documents required for a pre-approval include:
- Bank statements
- Drivers License/Identification
- Proof of IRAs or retirement accounts and their balances
Good Faith Estimate
After successfully completing the pre-approval process, you will receive a Good Faith Estimate (GFE). A GFE is a brief document that details the likely terms of the loan, including interest rate, loan type, and closing costs. All that said, a pre-approval is not a binding agreement between you and your lender – final loan approvals require the attention of our experienced underwriting team.
Pre-approvals have several advantages over pre-qualifications:
- Your Realtor knows you’re serious when you present a pre-approval letter – and will work even harder on your behalf!
- Sellers prefer to negotiate with prospective buyers with pre-approvals over simple pre-qualification letters – often times sellers won’t even consider your offer without a pre-approval letter from a licensed mortgage loan originator!
- Your mortgage pre-approval letter takes into consideration down payment percentages, interest rates, property taxes and mortgage insurance – which makes it clearer to you (the buyer) just how much you can truly afford to borrow.
- A solid pre-approval will help you get your loan processed faster. Getting a pre-approval could take your offer from a 60 day closing to as little as 30 days – with Inlanta’s express underwriting you may be able to close even faster!
You’re not likely to shop for a car without knowing what you can afford so why would you house shop without knowing what type of loan you may qualify for? A pre-approval helps you make educated decisions about the most important investment of your life.
Contact an Inlanta Mortgage loan officer near you and begin the pre-approval process today to enjoy a new home in 2013! Happy Holidays & Happy House Shopping!
Inlanta Mortgage offers Fannie Mae/Freddie Mac agency products, as well as a full suite of jumbo and portfolio programs. The company is fully delegated HUD-FHA including FHA 203K, VA, and USDA approved. Inlanta Mortgage also offers numerous state bond agency programs. Review Inlanta’s mortgage loan programs here.
Inlanta Mortgage is a multi-state mortgage banker based out of Brookfield, Wisconsin. NMLS# 1016. Inlanta Mortgage is proud to be a recent recipient of a 2012 Top Workplace Award.