Pre-approvals

Getting pre-approved is a very important, FIRST step in the home buying process. Regardless of whether you are experienced with the process or a first time buyer it is very important to know exactly where you stand financially before considering a new purchase. Mortgage lending guidelines are constantly changing, and due to the economic instability over the last few years, mortgage lending has changed drastically. There are also issues that may arise on your credit of which you are unaware. Most errors can be rectified easily, but it will take time for the reporting to be updated. It is best to deal with any errors prior to having committed to a specific timeline.
Although pre-approvals are extremely important, they should not be relied on 100% at the purchase time. It is important to have a full approval of both the applicant and the property before considering the financing to be secure.

Once you are pre-approved it is important to be aware of the different factors that may change your pre-approval. Here are a few examples:
- The information given in your pre-approval application is not correct
- Your employment changes
- Your debt ratios change
- Your credit changes
- Your martial status changes
- Property taxes for the new purchase being higher than average
- Properties that are unique. Some properties may have specific attributes that some lenders will not allow

Please contact me for full details on the above listed scenarios.