By Terry LaPolice
Dec 14, 2012
Q: What does it mean to be pre-approved for a loan?
A: What it means to be pre-approved for a loan is that the mortgage broker or bank has checked your credit and then your general numbers as far as income and as far as assets.
These are just the basics. This then shows that you are pre-approved from their standpoint to meet the guidelines.
They will then send you a letter that you need to present with any offer to purchase a home. It is just going over the basic numbers and credit history to show that you are qualified for a mortgage of whatever price you are asking for. This is a process that a Realtor can help the homebuyer through.
I was just this very moment talking to a mortgage broker in my office regarding a client. We work hand-in-hand with the mortgage broker.
Of course, I’m not a mortgage broker, so I always refer my clients to a mortgage broker to go over everything. We work together to figure out what is the best loan and the best scenario for our clients.
It is a very difficult process right now. The guidelines have gotten very strict about people being approved for mortgages.
I definitely advise anyone who is interested in buying a home to first speak to a mortgage broker.
— Terry LaPolice, Prudential Connecticut Realty, 203-940-1618