Taking the First Step to Homeownership 🏡✨

 

A pre-approval is your first step to becoming a homeowner. Whether you contact a realtor first, you will need a pre-approval to find out how much you can spend on a house. A mortgage pre-approval accomplishes several things:

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1. Know Your Budget: Find out how much you qualify for.

2. Secure a Rate: Lock in a rate for up to 120 days.

3. Prepare for Approval: Discuss what the lender will need to fund the mortgage.

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How Long Does It Take to Get Pre-Approved? ⏱️

In just a matter of minutes, I can determine how much you qualify for and whether your credit allows you to qualify. With my experience, I can quickly get through the numbers and offer you advice. Once I have pulled your credit, I will have a good idea of whether you qualify. Essentially, this process is called getting pre-qualified. From there, it usually takes 1 day to get a pre-approval, sometimes longer when lenders are busy.

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Am I Obligated to That Lender if I Get a Pre-Approval? 🤔

No, you are not obligated to continue with an approval from that lender. Based on our discussions, I will select a lender that best meets your needs based on interest rates, pre-payment privileges, restrictions, and so on. I want to ensure that the mortgage you get into will suit you for the entire term.

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How Much Does a New House Cost? 💸

When contemplating purchasing a home and getting a pre-approval, consider all the costs associated with house purchases. A pre-approval will only tell you if you qualify. Whether you can afford it is another matter. Factors to consider include:

• Mortgage Payment: This is your principal and interest. If you are putting less than 20% down, your mortgage payment will include mortgage default insurance. The interest rate will also affect the payment, so adjust accordingly to find an affordable payment.

• Property Taxes: Property taxes are added on top of your mortgage payment. They can be paid either through the lender or directly to the municipality in monthly installments, increasing your monthly expenses.

• Maintenance: Unlike renting, you will be responsible for repairs. Set aside money for future repairs.

• House Insurance: Factor in the cost of house insurance. While renting, it is recommended to have renters' content insurance. When purchasing a house, replacement insurance is required to protect the lender.

• Services: Heat, electricity, and sewage services can add up. The bigger the house, the higher the costs. Consider features that can save money, such as a high-efficiency furnace or water-saving toilets.

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Contact Me for More Information 📞

If you have any questions or need more information about mortgage pre-approvals, feel free to reach out. I'm here to help you navigate your mortgage journey.