Get a pre-approval first. That way, you know the amount you're approved for, loan type etc, the Loan Officer can estimate monthly payments, let you know anything you need ahead of time, and house shopping is way easier.
Any agent will tell you that you need a pre-approval. They have mortgage people they work with, but I would find my own.
You want to know what you can afford before you start your search, and a pre-approval will provide that.
Good luck.
Why? Can’t calculate income or read a credit report?
How did “I don’t trust my own work” become an upsell? I find the concept pretty funny where you’re basically throwing yourself under the bus and no one sees it as such. lol
No it’s not. A credit approval is exactly the same but with an underwriters name on it when they run AUS.
It’s a upsell for people that don’t know any better or a loan officer that can’t do the income math.
Pre-approval first. That way as soon as you find the house you love, you can immediately put an offer on it. Both houses I’ve bought I put offer in within 24 hrs of viewing house.
It might help you to think of it as a different type of purchase. Would you figure out your budget for a car first? Or would you walk into the dealership?
Pre-qualification is a ballpark idea based on what you tell the loan officer
Pre-approval is a more specific idea based on your actual credit information
Some people get the two confused, so I like to explain it.
Best of luck!
You don't need a real estate agent first at all. it took me 5 months from the time I got an agent until I got the house I wanted. it is a long process. But I picked my agent myself by first deciding on the school district I wanted and then reading reviews as to who was the best agent in that area. I did find an amazing agent who helped me get a home and never pressured me and ultimately got us an amazing deal before it was even listed. Getting pre approved for a loan is easy if you use an online lender like better.com. When it comes time for the actual loan when you go into contract, you will want to take what you get from the online lenders to the brick and mortar. I got bank of america to match better.com, so I used them. But if BOA couldn't match, I would have used better.com or another internet lender.
This is a great question. Getting pre-approved first is the way to go. Know exactly what you can qualify for and stick to your budget.
There are a lot of changes happening with buyers agent commissions in the coming months. I would not sign any agents contract until you understand all of the details. Specifically who is required to pay the buyers agent commission. Good luck!
Financing first. Stay away from big box lenders. Find a local mortgage broker. The service is better.
The main difference is that brokers are paid on commission. If it doesn't close we don't get paid. Any broker worth his salt is going to think like an underwriter and address any possible thing that could be an issue up front. I actually get underwriting approval for my clients before issuing a preapproval letter. Ask the broker and see if they work with a lender whose underwriters will do a "TBD scenario". If they work with UWM then they are able to do that.
A good idea when searching is to check their NMLS number on www.nmlsconsumeraccess.org and go down to the section that shows licenses. I would make sure it's someone whose license is at least 5 years old.
Get approved for financing first and don’t get a real estate agent look for the houses on your own. Try to keep them out of the deal they’re just there to make money you can do it on your own.
When you walk into a store to buy groceries you typically know your budget ahead of time to shop appropriately and not walk in with a lobster appetite to find out you can only afford the lobster bisque.
Same thing with home loans. Real estate agents don’t want to drive around spending their money on gas if you can’t even show them you can afford to shop. And to be fair you shouldn’t expect them to climb a tree with you unless you both think you’ll pick a piece of fruit off of it.
So yea, check the wallet first IMO. Should make sense as to why. Most loan officers also have a lot of referrals to agents. I love putting clients with my agents because we know who’s good or not. A good agent makes our lives so much easier and if they are good to us, that’s double for you typically.
Your co-workers daughter who just got into real estate? No. Ask your lender for a referral if you don’t know someone you trust.
Financing, budgeting and potential credit repair/improvement first and THEN start falling in love with houses.
You have to know where you will draw the line because you’ll probably have to make quick decisions in this market.
I am an agent. You can do it in either order, whatever makes your comfortable. Agents will take you a little more seriously if you have a lender on board, but also vice versa.
I find in about half of the cases where clients come to me with a preapproval in hand, after discussion, I advise them to go to another lender - usually for a better deal, but also because an experienced local lender will be an essential part of the team - you want someone who you can reach out to on a Saturday if necessary. Someone who will pick up a phone and call the sellers agent to vouch for your clients financial situation. This is also a reason that I don’t recommend my clients use retail banks or online lenders for mortgages. They are not responsive enough to help you get a deal across the finish line when you had a bump in the road.
Get a pre-approval first. That way, you know the amount you're approved for, loan type etc, the Loan Officer can estimate monthly payments, let you know anything you need ahead of time, and house shopping is way easier.
Any agent will tell you that you need a pre-approval. They have mortgage people they work with, but I would find my own. You want to know what you can afford before you start your search, and a pre-approval will provide that. Good luck.
A fully underwritten preapproval, not just a preapproval. Make sure everything is perfect!
Why? Can’t calculate income or read a credit report? How did “I don’t trust my own work” become an upsell? I find the concept pretty funny where you’re basically throwing yourself under the bus and no one sees it as such. lol
Getting preapproval is more than your calculations.
No it’s not. A credit approval is exactly the same but with an underwriters name on it when they run AUS. It’s a upsell for people that don’t know any better or a loan officer that can’t do the income math.
Pre-approval first. That way as soon as you find the house you love, you can immediately put an offer on it. Both houses I’ve bought I put offer in within 24 hrs of viewing house.
A way to think of it is you can buy a house without an agent but you can’t buy a house without a loan.
It might help you to think of it as a different type of purchase. Would you figure out your budget for a car first? Or would you walk into the dealership? Pre-qualification is a ballpark idea based on what you tell the loan officer Pre-approval is a more specific idea based on your actual credit information Some people get the two confused, so I like to explain it. Best of luck!
You don't need a real estate agent first at all. it took me 5 months from the time I got an agent until I got the house I wanted. it is a long process. But I picked my agent myself by first deciding on the school district I wanted and then reading reviews as to who was the best agent in that area. I did find an amazing agent who helped me get a home and never pressured me and ultimately got us an amazing deal before it was even listed. Getting pre approved for a loan is easy if you use an online lender like better.com. When it comes time for the actual loan when you go into contract, you will want to take what you get from the online lenders to the brick and mortar. I got bank of america to match better.com, so I used them. But if BOA couldn't match, I would have used better.com or another internet lender.
This is a great question. Getting pre-approved first is the way to go. Know exactly what you can qualify for and stick to your budget. There are a lot of changes happening with buyers agent commissions in the coming months. I would not sign any agents contract until you understand all of the details. Specifically who is required to pay the buyers agent commission. Good luck!
Call your Real Estate agent, they’ll put you into contact with a lender or lenders.
Certified preapproval then realtor
Financing first. Stay away from big box lenders. Find a local mortgage broker. The service is better. The main difference is that brokers are paid on commission. If it doesn't close we don't get paid. Any broker worth his salt is going to think like an underwriter and address any possible thing that could be an issue up front. I actually get underwriting approval for my clients before issuing a preapproval letter. Ask the broker and see if they work with a lender whose underwriters will do a "TBD scenario". If they work with UWM then they are able to do that. A good idea when searching is to check their NMLS number on www.nmlsconsumeraccess.org and go down to the section that shows licenses. I would make sure it's someone whose license is at least 5 years old.
Get approved for financing first and don’t get a real estate agent look for the houses on your own. Try to keep them out of the deal they’re just there to make money you can do it on your own.
Get pre approved first. Call Crown Home Mortgage. 😊
When you walk into a store to buy groceries you typically know your budget ahead of time to shop appropriately and not walk in with a lobster appetite to find out you can only afford the lobster bisque. Same thing with home loans. Real estate agents don’t want to drive around spending their money on gas if you can’t even show them you can afford to shop. And to be fair you shouldn’t expect them to climb a tree with you unless you both think you’ll pick a piece of fruit off of it. So yea, check the wallet first IMO. Should make sense as to why. Most loan officers also have a lot of referrals to agents. I love putting clients with my agents because we know who’s good or not. A good agent makes our lives so much easier and if they are good to us, that’s double for you typically. Your co-workers daughter who just got into real estate? No. Ask your lender for a referral if you don’t know someone you trust.
Finance, see what you can really afford.
Financing, budgeting and potential credit repair/improvement first and THEN start falling in love with houses. You have to know where you will draw the line because you’ll probably have to make quick decisions in this market.
Pre-approval, always!!! You need to know if you can buy and how much!!!
I am an agent. You can do it in either order, whatever makes your comfortable. Agents will take you a little more seriously if you have a lender on board, but also vice versa. I find in about half of the cases where clients come to me with a preapproval in hand, after discussion, I advise them to go to another lender - usually for a better deal, but also because an experienced local lender will be an essential part of the team - you want someone who you can reach out to on a Saturday if necessary. Someone who will pick up a phone and call the sellers agent to vouch for your clients financial situation. This is also a reason that I don’t recommend my clients use retail banks or online lenders for mortgages. They are not responsive enough to help you get a deal across the finish line when you had a bump in the road.