Refinance-rental-property
How Can I Refinance Rental Property?
September 12, 2016
Home-loan-bank statement-self-employed
Bank Statement Program for Self-Employed Borrower
October 11, 2016
Show all

Getting Prequalified to Buy a House

How-to-get-preapproval-home-loan

Home Loan

Ready to Buy a House- Where Do I Start

So you are ready to buy a house but you aren’t sure where to start. Are you currently thinking about buying a house or in the market to buy a house? Buying a house is the biggest purchase of anyone’s life.  The decision to buy a house is the biggest decision anyone will ever make.  It is a commitment to 30 years of payments on average. And also a commitment to living in the same place at least until you decide to purchase another home.

Do I need a Prequalification Letter to Shop for a House?

You do need a prequalification letter to begin shopping for a house.  The market is currently very competitive. In order to work with a real estate agent and have them take you around to show you houses, they will most likely require that you have a preapproval letter in hand.  The preapproval letter is a letter from the bank saying that they have ran your credit, reviewed your finances, and given their blessing up to a certain dollar amount.  Banks that issue prequalification letters generally have done their due diligence and will not issue them if they have any doubts that you would not be approved for a mortgage loan.

Preapproval Letter is your Golden Ticket

The preapproval letter is your golden ticket to begin home shopping.  The current market is highly competitive.   Even if you have a preapproval letter in hand, many sellers are bombarded by potential buyers and multiple offers.  The sellers and the seller’s agent will want to see that you are preapproved for a loan before they will even accept your offer.

What Does a Preapproval Letter Do for Me?

When you are shopping for a house and you find one that you like, your agent will draft up an offer letter for you.  The sellers will want to know that you are preapproved for a loan.  Once you make an offer and it is accepted, the process begins.

What is Needed to Get Preapproved to Buy a House?

So you want to buy a house and you want to know what you need to get a loan preapproval from a bank.  The first step is to gather all of your documents.  The basic documents that a lender or bank will want to see are three months of paycheck stubs, W2 Income statements for the last two years, the last three years of income tax returns, and 2 months of bank statements.  They will pull your credit and see how much debt you have.  They will then see how much house you can afford using the lenders debt-to-income ratio requirements. Once they have ran your credit and determined how much of a house payment you would qualify for, they will issue you a prequalification letter.

Get Prequalified Today

Most lenders and banks will give you a no-obligation consultation and preapproval letter. It is a very simple process and most lenders can provide you a letter in less than a week. Consult a qualified, licensed mortgage loan officer today to get prequalified.

Contact Us today at 888-900-1020 to get prequalified.  We are is available 7 days a week to anwser your questions.

The information contained on California-Loans.com website is for informational purposes only and is not an advertisement for products offered by The Caliornia Loans Team or its affiliates. The views and opinions expressed herein are those of the author and/or guest writers of California-Loans.com and do not reflect the policy of California Loans, its officers, subsidiaries, parent, or affiliates.

Leave a Reply

Your email address will not be published. Required fields are marked *