Prequalified vs PreApproved

So you are ready to buy a home, you start looking at websites, doing virtual tours, doing drive bys, prowling neighborhoods.

You decide it is time to choose an agent or stop by an Open House.

You know what you want......buying a new home should be easy, you just pick one out!

The first thing an agent will ask.  Are you preQualified?  Or even more important Pre approved! Do you have the letter?  What is the difference?

Pre Qualified you spend a few minutes on the phone or in person with a lender and you tell them about your finances.  How much do you make? What are your assets? Do you have a down payment? What loans do you have?  You are not necessarily providing documents like pay stubs, W-2, bank statement, loan statements etc.  This is just to get you a rough idea of what you may later be pre Approved for.

Pre-approval, you have been working with a lender, they have your documentation, you have been processed, underwritten and approved!  You are a STRONG buyer and in a multiple offer situation you are ready for it.

If you get a PreApproval you are a stronger buyer and you have put a ton of stress behind you rounding up paperwork.

Start that talk with a lender today!

Renae Hammel

Renae Hammel

Realtor
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