Category
Why should buyers get pre-approved for home loans?
Answer
Getting pre-approved for a mortgage before shopping for a home is a great idea and a smart strategy. First of all, pre-approval helps you know exactly how much house you can afford, what your estimated monthly mortgage payments will be, and how much you need to provide as a down payment. Next, it tells home sellers and Realtors that you are a serious buyer. When given the choice, for example, most sellers and real estate agents prefer to deal with a buyer who has pre-approval, because they are not worried that the sales transaction may later fall apart due to a lack of financing. That puts you in a more confident and advantageous position in terms of looking at homes and negotiating with sellers.
