2. Do I really need to be pre-approved in order to shop for a home?
(Please excuse grammatical mistakes - this is a direct transcription of the original video.)
Okay. Number two, do I really need to be pre-approved in order to shop for a house?
The answer is yes, most listing agents and sellers will require a person to be fully pre-approved in order to entertain any sort of offer, especially in a hot market. The worst thing that can happen to a seller is to take their house off the market and possibly lose 30 plus days because you don't qualify for the house and they have to put their house back on the market. And you could possibly lose your earnest money, which could possibly be 1% of the entire purchase of the house, because you were denied after the expiration period or the contingency period. And the seller would have rights to your earnest money and take it from you. And therefore you lose that money because you didn't get properly pre-approved.
So what's a pre-approval? Well, a lender would review your credit. They would look at your income history, verified through W2's, tax returns and pay stubs. And they would verify your assets through bank statements and such, and they would structure your file and submit it to the automated underwriting system and receive an approval result.
Let's put it this way, being pre-approved shows that at least you did it, you took the time and effort and someone actually verified your information, but you're not some sort of crazy stalker guy, that's just trying to get into the house.
Yeah..nah..Not going to happen. I mean, seriously, the worst thing that can happen is for you to get denied while you're under contract and you end up wasting everyone's time and you might lose your earnest money, and they have to put the house back on the market. Man, ain't nobody got time for that!
Also if you want to set up a ZOOM CALL or PHONE CALL to learn more about this particular topic, you can do so by setting an appointment with First Time Home Buyer Coach Larry Le here: www.homeloandate.com.
If you want to start the home buying process you can follow any of these options:
- Call/Text Loan Officer Larry Le right away at 214-225-6323
- Email Loan Officer Larry Le at [email protected]
- Start the preapproval process on your own - you can start at www.LarryLeTeam.com or https://larryle.floify.com/apply-now
- Set an appointment to speak to Loan Officer Larry Le on the phone or via ZOOM at www.homeloandate.com
Also you can check out Loan Officer Larry Le's blog at http://yourmortgageinsider.com for information, news, and updates on the mortgage and housing industry or check out his YouTube channel at https://www.youtube.com/channel/UCYYE06pvAn0lG7proyLIUqQ.
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