Local Fairway Mortgage Professional Shares Mortgage Preapproval Tips
MARSHFIELD, WI (OnFocus) – In this fast paced housing market, it’s important to get preapproved for a home loan. Preapproval for a home loan involves confirming bank statements, pay stubs, and credit reports to demonstrate ability to finance a home.
“Getting preapproved helps show what you are able to afford and allows for the home buying process to move more seamlessly once you find the house you want,” explained Josh Kilty, Fairway Mortgage.
How to Get Preapproved for a Home Loan:
Attaining preapproval is a relatively simple process and is essentially an application in which the lender examines finances.
“We take a look at your financial documents to determine what you can afford,” said Kilty. “Not only is this helpful for us as the lender, it’s also a good way to establish a budget for the borrower.”
Documents that a lender might ask for include:
- Proof of income
- Employment verification
- Proof of assets
- Credit history
This includes documents such as:
- W-2 statements
- Pay stubs
- Bank statements
- Social Security number
“After providing us with your information, we’ll calculate your loan estimate and inform you whether you are preapproved and for how much,” explained Kilty.
The best time to seek preapproval is at the beginning of a home search. Not only will preapproval help determine which houses are best to look at, it also shows a seller that a buyer is serious and can make their offer more appealing.
“You can share your preapproval letter with the home’s seller when you make an offer,” said Kilty. “It shows you won’t have problems getting financed for the purchase amount you’re offering.”
Preapproval typically is valid for 60-120 days. Speak with Fairway Mortgage for more information!
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