[vc_row][vc_column][vc_column_text]<\/p>\n
31 August 2020 ~<\/p>\n
You may have heard that pre-approval is a great\u00a0first step<\/a> in the homebuying process. But why is it so important? When looking for a home, the temptation to fall in love with a house that\u2019s outside your budget is very real. So, before you start shopping around, it\u2019s helpful to know your price range, your financial comfort level as it relates to a monthly mortgage payment, and ultimately how much money you can borrow for your loan. Pre-approval from a lender is the only way to do this.<\/p>\n According to a recent\u00a0survey<\/a>\u00a0from\u00a0realtor.com,<\/em>\u00a0many buyers are making the mistake of skipping the pre-approval step in the homebuying process:<\/p>\n \u201cOf over 2,000 active home shoppers who plan to purchase a home in the next 12 months,\u00a0only 52% obtained a pre-approval letter before beginning their home search<\/strong>, which means nearly half of home buyers are\u00a0missing this crucial piece of paperwork.<\/strong>\u201d<\/em><\/p><\/blockquote>\n This paperwork (the pre-approval letter) shows sellers you\u2019re a qualified buyer.\u00a0 In many cases, a pre-approval letter is a condition that must be met simply to view a property, especially in a Covid-19 world.\u00a0 \u00a0As part of my best practices, I include a pre-approval letter with all of my clients’ offers.<\/p>\n With limited\u00a0inventory<\/a>, there are many more buyers than sellers right now, a ratio that is fueling the competition. According to the National Association of Realtors<\/em>\u00a0(NAR), homes are receiving an average of\u00a02.9 offers<\/a>\u00a0for sellers to negotiate, so\u00a0bidding wars<\/a>\u00a0are heating up.<\/p>\n Danielle Hale, Chief Economist<\/em>\u00a0for\u00a0realtor.com<\/em>\u00a0notes:<\/p>\n \u201cFor \u2018a buyer in a competitive market, it\u2019s\u00a0typically essential to have pre-approval done<\/strong>\u00a0in order to submit an offer, so getting it done before you even look at homes is a smart move that will enable a buyer to move fast to put an offer in on the right home.\u2019\u201d<\/em><\/p><\/blockquote>\n In addition, today\u2019s housing market is also changing from moment to moment.\u00a0Interest rates<\/a>\u00a0are low,\u00a0prices<\/a>\u00a0are going up, and lending institutions are regularly updating their standards. You\u2019re going to need guidance to navigate these waters, so it\u2019s important to have a team of professionals (a loan officer and a real estate agent) making sure you take the right steps along the way and can show your qualifications as a buyer at the time you find a home to purchase.<\/p>\n In a competitive market with low inventory, a pre-approval letter is a critical piece of the homebuying process. If you\u2019re ready to buy this year, let\u2019s connect before you start searching for a home.<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":" 31 August 2020 ~<\/p>\n You may have heard that pre-approval is a great\u00a0first step in the homebuying process. But why is it so important? When looking for a home, the temptation to fall in love with a house that\u2019s outside your budget is very real. So, before you start shopping around, it\u2019s helpful to know your price range, your financial comfort level as it relates to a monthly mortgage payment, and ultimately how much money you can borrow for your loan. Pre-approval from a lender is the only way to do this.<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[216],"tags":[223,226,228],"class_list":["post-10603","post","type-post","status-publish","format-standard","hentry","category-buyers","tag-being-prepared","tag-first-time-home-buyers","tag-home-buying-guide"],"featured_image_src":null,"featured_image_src_square":null,"author_info":{"display_name":"elizabethjebef","author_link":"https:\/\/elizabethjebef.com\/?author=2"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/elizabethjebef.com\/index.php?rest_route=\/wp\/v2\/posts\/10603","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/elizabethjebef.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/elizabethjebef.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/elizabethjebef.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/elizabethjebef.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10603"}],"version-history":[{"count":0,"href":"https:\/\/elizabethjebef.com\/index.php?rest_route=\/wp\/v2\/posts\/10603\/revisions"}],"wp:attachment":[{"href":"https:\/\/elizabethjebef.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10603"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/elizabethjebef.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=10603"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/elizabethjebef.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=10603"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}