When people think of getting a mortgage, they tend to think of the standard process of house hunting, getting a loan, etc. What many do not know is that there is an option to be pre-qualified for a mortgage. This option may sound unnecessary but it can prove to be beneficial to many people. Here at Ace Mortgage Loan Corp., we like to think that doing anything early is a great way of doing things. You can never be too early and when it comes to getting qualified for a mortgage this idea is maintained.
Great for Negotiating
Getting pre-qualified for a mortgage puts you behind the 8 balls. You are a step ahead of the game and can now move onto submitting an offer. Submitting an offer early and hearing back from the seller will allow you to negotiate and find some middle ground on a price. Another thing to keep in mind, many people will get approved at the average rate which means you are going to stand out among the crowd. This means that the seller will be more inclined to accept your offer on the home, as long as it is not within reason. Part of the reason for this is that you can more quickly move on to the loan step and close on the home loan. This is very appealing to sellers and will give you a boost when on the prowl for your dream home.
Keeps You Prepared
When you are pre-qualified you can apply for a home loan sooner. This will allow you to get an idea of how much money you are going to be approved for and thus what price range of homes you should be looking at. This can prevent a whole lot of hurt as some people fall in love with a home for them to not be able to budget for it. Having a budget established early on can also give you more time to factor in some of the other expenses of home buying such as décor, trash pickup fees, pest control fees, and potential damages. The most common thing we see is people not factoring in these hidden expenses and then overbudgeting on the home. These expenses range from reoccurring to being occasional expenses. Regardless, they still should be prepared for.
Important Things to Remember
Something we make sure everyone who comes in knows is that your pre-qualification will expire in 60 days. This makes it even more important to continue with the process after getting the qualification. The last thing you want is to get the qualification early to move forward and procrastinate and lose the qualification. What would have reflected nicely on you to the seller will shine a worse light on you for being late. The reason that this 60-day requirement is in place is because of how fast things can change. Things such as employment status, income, interest rates, and credit scores are all subject to change at a fast rate, making the 60-day timeline fair. Once you are pre-qualified it’s important to make sure that the lender updates this information on your paperwork so that you can move on to the next step in the process, getting a home loan.
At Ace Mortgage Loan Corp. we are here to help you with your mortgage process. Whether you want to go for pre-qualification or for the standard timeline, we are here to make sure you get your dream home. When it comes down to it you want to make sure that you are working with a company that you can trust. Purchasing a home is no joke and is a huge decision, there is simply no room for error. That’s why you need to go with people you believe will have your best interest. With us, on your team, you can rest assured that you will be given information every step of the day so you stay on track and know what to expect. At Ace Mortgage Loan Corp. we believe that everyone has a fair shot at their dream home. Give us a call today at 954-777-4774 to learn more about our services.