When you want to purchase houses for sale in Beverly Hills, the very first step should be meeting with a local lender near by and you getting pre-approved for a loan amount that is just right for you.
This step that I am mentioning is important for 3 reasons:
1. You’ll know what you can personally spend on the house you are looking for. And looking at homes you can’t purchase not only wastes your time, but it’s depressing. And, as many home shoppers have learned, once you switch to homes you can afford, none of them will please you like the ones you had just seen, which was out of the budget.
2. You’ll know if you need to restrict your search to the houses for sale in Beverly Hills that meet certain requirements. VA, FHA, and some regional loan programs have very few guidelines regarding the homes that will qualify for their financing.
3. When you have a pre-approval letter in hand, it’s more likely that your offer will be accepted, or at least considered over offers without such a letter. Sellers don’t want to take their homes off the market in the hope that you’ll be able to qualify – they want some solid assurance.
In fact, if you’re shopping for bank-owned houses for sale in Beverly Hills, it’s more likely an offer without a pre-approval letter and will be rejected as a matter of routine.
Don’t mistake a Mortgage Loan Pre-Qualification for a Pre-Approval.
There is a huge difference between these two. A pre-qualification is done with no verification. As a result, it doesn’t mean much.
You simply talk with the mortgage lender and tell him or her about your situation. You state your income and your expenses, discuss your employment history, and answer a few questions about your credit. Then they tell you if you appear to be qualified, and for how much your possible loan may be.
When you become pre-approved it means the lender has verified your income, assets, down payment availability, and employment. He or she has also checked your credit. So unless you do something to change the picture, you will be able to get a home loan for the amount the lender quotes.
A pre-qualification doesn’t mean a thing, so take the extra step and become pre-approved.
If you need to find a good lender, get in touch. I’ll be happy to provide you with a list of houses for sale in Beverly Hills, lenders who have served my clients well.
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