HOME LOAN PROCESS 101
What’s the difference between a pre-qualification, pre-approval and full loan approval?
Recommended first step to learn what you can afford. This can often be done over the phone with your Lender of choice.
At the beginning of your home search.
Written letter from a Lender stating that you qualify for a particular type of loan and loan amount. A Pre-approval is based on Lender underwriting guidelines and a preliminary review of your credit, income and debt obligations.
Provide your Real Estate Agent with your Pre-Approval Letter early in your home buying process. You will need to submit it with any offer to purchase, as it will demonstrate to the home seller that you are serious and qualified to purchase their home!
Seasoned real estate professionals often require this Pre-approval Letter prior to scheduling any showings as the conditions will determine which properties you may qualify and which you will not.
STEPS TO GET PRE-APPROVED
Meet with a local Lender.
(ask your Real Estate Agent for some suggestions)
Provide your Lender with employment history, tax information and any other information requested.
Lender will pull your credit score to determine credit worthiness.
If you meet the Lender’s qualifications, you will be issued a Pre-approval Letter.
FULL LOAN APPROVAL:
Lender has completed an appraisal of the home to confirm the loan meets loan-to-value requirements. Lender has also reviewed and validated all of your financial, credit and personal information. You’re now officially approved and the Lender is ready to send you loan documents and fund your loan!
The timeline for Full Loan Approval will vary, however, the approval will take place after you have opened escrow on a property.
LOAN TIMELINE and MILESTONES
DECIDE TO BUY
CHOOSE YOUR REAL ESTATE AGENT
START VIEWING AND TOURING HOMES
FIND YOUR DREAM HOME
FULL LOAN APPROVAL
CLOSE / MOVE-IN
LIVE HAPPILY EVERY AFTER!
Prestige Waterfront Realty | AskPWR
954 830 7000 | Info@AskPWR.com
3351 Galt Ocean Drive Fort Lauderdale, FL 33308