It is important to bring in your mortgage loan professional early — even before you've started to consider neighborhoods. What for? It might be difficult to fathom the ways in which we can help even before you start to negotiate.
We Will Help You Pre-Qualify
We will help you see how much of a mortgage you can afford, and the amount of money you may be able to borrow, by walking you through pre-qualifying. We accomplish this by considering your income and debts, your employment and housing circumstances, your funds available for down payment, required reserves, and some other things. It's quick and basic; We keep the paperwork to a minimum.
We'll give you a Pre-Qualification Letter once you qualify, that says that we're confident you will qualify for a specific amount of mortgage dollars.
Power in the Pre-Qual
Once you find a house that is right for you, and you decide to put together an offer, being pre-qualified for a loan will do several things. First, you have some general numbers in mind, as the amount you can borrow. More important to the current home owner, your pre-qualification is like your having walked into their front door with a suitcase full of money ready to make the deal! They need not wonder if that they are wasting their time if you do not be able to qualify for a big enough mortgage. The seller of the home won't wonder if he can count on you to qualify for your loan. Your qualifying for the necessary loan amount will not cause them concern. You have the capability to back up your offer.
We will help you Pre-Qualify
When we pre-qualify you, we help you figure out the amount you can afford in monthly payments you can fit in your budget, and the loan amount you can qualify for. This process takes you through your financial situation - your debt, income, employment, down payment money, among other things. It's a short, thorough process with minimal risks for papercuts.
One-on-One
It's important for you to sit down and meet with us, even though you are free to also try the helpful mortgage calculators on our site. That way, we will help you get your pre-qualification letter. Then, we will make sure we have selected the ideal mortgage loan program for your situation.
Are you
pre-qualified or pre-approved for a loan?
Before you begin to shop for a new home, you should set up a time to meet with me so we can figure out how much you can afford. This will put you in a better position as a buyer. That’s when it is important to understand the distinction between being pre-qualified for a loan and pre-approved for a loan. The difference between the two terms will be crucial when you decide to make an offer on a house.
Pre-Qualified
To get pre-qualified for a loan, I will collect information about your debt, income, and assets. We’ll look at your credit profile and assess goals for a down payment and get an idea of different loan programs that would work for you. I will issue you a pre-qualification letter indicating the amount you are pre-qualified to borrow.
It is important to understand that a pre-qualification letter is just an estimate of what you are eligible to borrow, not a commitment to lend. Getting pre-approved for a loan gives you competitive advantage when the time comes to bid on a home because you have been approved for a loan for a specified amount.
Pre-Approved
To get pre-approved, you will complete a mortgage application and provide me with various information verifying your employment, assets and financial status such as W-2 forms, bank records and credit card statements. We’ll review your mortgage options and submit your application to the lender that best meets your needs. Once the application process is complete you will receive a pre-approval letter indicating the amount your lender is willing to lend you for your home.
A pre-approval letter is not binding on the lender; it is subject to an appraisal of the home you wish to purchase and certain other conditions. If your financial situation changes (e.g. you lose your job), interest rates rise or a specified expiration date passes, your lender must review your situation and recalculate your mortgage amount accordingly.
Documents Needed for Pre-Approval
- Paycheck Stubs for the most recent 30 days.
- Bank Statements for all bank accounts for the past 60 days. Statements must include your full name and full account number. Send all pages even if some are blank or contain advertising.
- Most recent statements from all asset accounts (IRA, 401K, etc.).
- W-2's for the past 2 years for all borrowers, for all jobs.
- Pension Award letter (if applicable).
- Social Security Award letter (if applicable).
- Service Connected Disability Income Award letter (if applicable).
- Copy of DD-214
- Copy of driver's licenses for all borrowers. (Please set copier on "light" and enlarge the image so date of birth can be easily read and photo recognizable).
- Copy of current mortgage statement (if refinancing)
- Copy of your mortgage NOTE (if refinancing) (You received this when you closed on your current loan).
- Copy of divorce decree (if child support is paid or counted toward income).
- Federal tax returns, all pages and schedules.