Video Reference: Bedtime Stories Part 2

Are you getting set to make your first real estate purchase? Congrats! Way to go!

Buying a home is a big deal, and you want to ensure that you have the right team on your side to have the best experience possible. But as you start looking for your next home, you hear the term “pre-approval” thrown around a lot. 

While it may not seem like a big deal at first, pre-approval is one of the most important things you can do before purchasing a home. Why? It lets dealers and real estate agents know you have the money set up and ready to go, and it also helps you understand how much property you can afford.

Here are more reasons why you should get pre-approved for a mortgage before you start looking for a home: 

1. It shows the seller you are a serious buyer.

When you have the support of a lender, real estate brokers and sellers will see you as a serious buyer who is prepared to make a purchase. Pre-approval from a lender indicates that they are willing to give you a mortgage based on your financial history. It also shows that you are in a position to buy and ready to take on the challenge of purchasing a home. 

2. You can save some time by doing so.

Another great thing about getting pre-approved for a loan is that it saves you significant time by determining how much you can buy. Once you know how much you can afford, you can tailor your search for a property to the price range you are looking in. This gives you more time to think about what you like about the house instead of how much it costs, which is a big plus.

3. You can have a stronger negotiating position.

Let’s talk about power. You will likely have greater bargaining power if you have a pre-approval letter. This is because sellers and real estate brokers will know that you have previously spoken to a lender and that you are serious about doing business with them.

4. Lower the chance of surprises later.

We hate surprises–money surprises! It is best to have a conversation with a reliable lender before you search for the right property. This will assist in guaranteeing that you are not taken aback when it comes time to make an offer. 

Having all your financial ducks in a row will help avoid surprises like a low credit score or a high debt-to-income ratio. Getting all of your ducks in a row early will leave little room for unexpected surprises.

5. Take pleasure in the shortened closure times.

And finally, being pre-approved for a loan may help speed up the closing process. The lender has already collected most of the information about your finances. Hence, they have an idea of what they can offer you. 

Final Thoughts

These are the main reasons you should get pre-approved for a mortgage before looking for a home. By doing so, you can eliminate the stress that comes with buying a home, and you can also enjoy the shortened closure times that are a result of this. 

And remember how important a trustworthy team is? Well, that’s us! Here at Loft Realty, we are committed to giving you a first-class experience that brings you into the home of your dreams. 

We offer the best real estate service and are here to help you find a Delaware home you love. Contact us today for more info, and let us get you pre-approved.