Pre-qualified versus pre-approved by a lender
A reader asks:What is the difference between being "pre-qualified" and "pre-approved"? What should I get from my lender when I want to make an offer on a house?
Our reply:
Depending on the vocabulary of your mortgage broker or loan officer, "pre-qualified" can be a general terms to describe that your situation has been reviewed by a loan professional and deemed to be acceptable. "Pre-approved" can be a more specific term to describe that your application for a loan has been approved and they are ready to process your purchase contract to fund a loan.
It is recommended that you have a "pre-approval" letter prepared to go along with each individual offer you make on a property. The letter should include the address of the property and the price you are offering to pay for it.
- Kathleen Macdonald
* related reading - About.com has a nice article called "You're Only 11 Steps Away From Buying a Home" by Janet Wickell which lists 11 things to consider before setting out to buy your first home.
posted by SFResidence.com @ 7:42 AM
0 Comments:
Post a Comment
<< Home