Crystal Coast Home Realty

One of the most important steps in the home-buying process is being pre-approved for a home loan. Many buyers apply for a loan and receive approval from a lender BEFORE searching for a home. This is called “pre-approval.”

Why is pre-approval important at the beginning of the home-buying process?

* Pre-approval can cut days or even weeks off the closing, because the lender has already conducted its credit analysis and approved you for a mortgage.

* Pre-approval strengthens your offer and negotiating position. A home seller will often choose to accept an offer from a buyer who is pre-approved for a mortgage over one whose financial picture is still in question.

* Pre-approval will determine your price range and narrow your search parameters. Based on your down payment and that pre-approved mortgage amount, you will know how much you can afford before you even start looking for a house.

There is also a significant difference between buyers who are merely “pre-qualified” and those who are pre-approved.

Pre-qualified buyers are those whose lenders have determined how much they can borrow based only on information the buyer has provided to the lender. Nothing has been verified to determine the buyer's true creditworthiness. The buyer still must fill out a loan application and go through the lender's approval process.

For buyers who have been pre-approved, the lender has already done a credit check along with verification of employment and deposit. The lender's pre-approval is a commitment to loan the buyer up to a certain predetermined amount. The only piece missing is the lender’s appraisal of the home to confirm its value.

Contact us when you are ready to purchase your next home. And let us know if we can provide any additional information about pre-approval or financing options.

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Sound Bank’s website is www.soundbanking.com. We offer Fixed rate and Adjustable Rate Conventional, FHA, VA and USDA mortgages for first time homebuyers, first and second homeowners as well as investors. We also offer Lot Loans, Construction to Permanent financing, Home Equity Line of Credit, Rate and Term Refinances as well as Cash out Refinances. We also have the Reverse Mortgage for individuals 62 years and older. And we are one of the few banks still offering Manufactured Home or Doublewide on permanent foundation, Conventional, FHA and VA financing for primary and second homebuyers.

We are a local bank where decisions are made down the hall not across the state.


 

 

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