How much of a loan do I qualify for?
Financing is a crucial part of the home-buying process. Pre-approval means that a lender has reviewed your financial status and has approved you for a loan amount based on the information that you have given them about you. A pre-approval is for the Buyer, it is not related to a specific property. Pre-approval does not cost you anything and can be done quickly – usually within 24 hours. Your broker can refer you to a mortgage lending professional.
INSIDER TIP: It is imperative that you have been pre-approved for a loan (unless you are paying cash) when submitting an offer. Sellers will not take a non-cash offer seriously if a Buyer has not been pre-approved because the Seller is reasonably assured that the Buyer can follow through with the purchase. In addition, when you know how much of a loan you can obtain, you can target your purchase price range and see only those properties that fit within your price range.
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