Pre-approvals are a key part of buying a home in today’s market.
Getting a pre-approval is key to buying a home, and today I want to explain why. First, what is a pre-approval exactly? It is a letter from a lender stating that you can purchase homes within a certain price range. When you get a pre-approval, the lender will go over what price range you qualify for, what type of loans you can use, and how much of a down payment you will need.
So again, why is a pre-approval so crucial? It gives peace of mind to homebuyers. Buying a home is one of the largest financial purchases most people make. It’s very important to know how much you qualify for early on. That way, you know what price range to look at and how much your down payment will have to be.
Houses are selling quickly, and the record-low inventory is driving multiple-offer scenarios. You’ll typically be competing against multiple other offers, and a pre-approval will give yours a competitive edge. It shows the seller that you are serious about buying a home and ready to move.
If you want to look at homes and wonder what you might qualify for, give me a call! I would be happy to talk through the process and give you some references so that you can start your pre-approval. You can call us at 256-990-4663 or visit our website.