Mortgage Calculators
Ready to get started on a home purchase?
Here's some tips for you to enable you to be competitive in
our current local market in Lafayette, Moraga, Orinda, Walnut Creek and the
Diablo Valley.
(1) If you are considering the purchase of a home, it's very
important to first "do your homework" by contacting a local real
estate lender. In today's market, you will need to
provide the sellers with evidence of your financial ability to purchase their
home before they will seriously consider your offer.
(2) Previously, buyers have been able to provide sellers a letter
from a lender called a "pre-qualification" letter. That letter
specified that the lender had talked to the buyers and that based on the
information that the buyers had provided, the buyers appeared to be pre-qualified for
a specific loan amount. The letter specified that the pre-qualification was
subject to verification from the lender of the buyers income, verification of
other assets and formal approval by a loan underwriter.
However, in today's competitive market, most sellers now
expect even more certainty from the buyers in regards to their home loan.
Sellers are now expecting in many cases to see a "pre-approval" letter
from buyers for their home. That letter specifies that the buyers have submitted
all loan application documents to the lender and the lender has verified income
and other assets already. The final approval of the loan is subject usually only to an
appraisal of the home, final title company documents and underwriting final
approval. Therefore, there is
little uncertainty about the buyers ability to obtain a loan.
So, if you are planning to buy in our local market, it is
crucial for you to get started on the loan process and receive that pre-approval
letter.
If you would like the names of some local lenders that I have had
experience with, please contact me and I will be glad to pass on some
names: judy@judydickey.com
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