Once you have decided to make the exciting choice of buying property, getting pre-approval for your mortgage is a must! What is a pre-approval for a mortgage? Please consult with a Long Island Mortgage Broker to receive the best advice.

What is Pre-approval for a mortgage?

It’s a very important step and helps you with the home buying process in a few ways. The first way this will help you, is by giving you an understanding of the mortgage amount you qualify for. This is crucial knowledge when it comes to home buying, so you know which range of properties to look at and which ones would not suit your budget. This gives you a starting point from which to commence your home buying journey. You may be pleasantly surprised by the price of the home you can afford. However, there is no need to buy up to your full mortgage pre-approval amount, you should always look at homes with mortgage repayments you are comfortable with.

Are you pre-approved?

The second reason why a pre-approval is key is that it shows Relators that you are serious. You have done the groundwork to see where your affordability lies. It will strengthen any offer you make with a Relator if they know that you are pre-approved for the mortgage amount you have submitted on your offer.

We all know buying a home can be a heart-breaking process when you lose out on a property to another buyer. This can happen for many reasons. Another offer may be higher than yours or perhaps it is a cash offer. However, if there are two mortgaged offers on a property and one buyer has done their pre-approval and looks like a sure bet, it makes sense for the seller to accept the more secure offer! The Relator will always advise their clients to go with a safe deal. You give yourself a much better chance of having an offer accepted if you are already pre-approved.

It’s a quick process and requires just a few documents from yourself. Get in touch with a mortgage broker assess your affordability and strengthen your chances of securing your dream home.