If you’re ready to buy a new home, you absolutely, positively should get a pre-approval before starting your home search. 

In fact, a successful home purchase should always start with a pre-approval and there are three main reasons why. 

First, you need to know how much you qualify for. Before you shop for a home, there are several numbers to consider. For example, how much will your principal and interest be? What will your mortgage insurance be? How much are taxes, homeowner’s insurance, mortgage insurance and HOA fees? During this process, the lender takes your debt and income into account and calculates how much home you can afford. If you don’t know what that number is, you’re rolling the dice as a buyer. 

“A pre-approved buyer will beat out a non pre-approved buyer every single time.”

Second, an experienced Realtor won’t take the time and effort to take you home shopping if you aren’t pre-approved. For them, it’s a waste of time and a potential safety issue. If you’re already pre-approved, however, they know that a mortgage professional has your information on file and there’s less chance of a problem occurring. 

Third, a seller and their agent won’t entertain an offer without a pre-approval—especially in a market where multiple-offer scenarios are common. A pre-approved buyer will beat out a non-pre-approved buyer every time. 

If you have any questions about this or any other real estate topic, don’t hesitate to reach out to me, I’d be happy to help you.