Step One: When buying a home in Elk Grove get Pre-Approved FIRST!
Many folks looking to buy a home in Elk Grove want to get out and look at homes as quickly as possible. Elk Grove home buyers need to remember that in order to put an offer on a home for sale, they have to know how they are going to pay for it.
Makes sense doesn't it!
Many of my Elk Grove home buyers think getting a pre-qualification for a mortgageis enough. If you get a pre-qualification letter from a lender that typically means they have asked you questions about your income and assets and have pulled your credit report. In order to get a pre-approval, you need to provide tax returns, bank statements, retirement statements, pay stubs and w-2s.
Coming from the loan business... I can assure you a pre-qualification does not mean jack (for lack a better way of putting it)! The bottom line is there is not enough VERIFIED information for any lender (direct lender, big bank, or mortgage broker) to tell you if you really qualify.
Elk Grove homebuyers need to remember that even though they make $6,000 a month from their job (for example).... that Monavie business (for example) they started last year that provided a huge write-off... HAS to be deducted from their $6,000 income. It's things like this that get missed during a pre-qualification. It's not that the home buyer is trying to pull one over on the loan officer, but most consumers don't understand that many deductions on their tax return have to be subtracted from their gross income.
I encourage all my Elk Grove home buyers to get an appointment as quickly as possible to be pre-approved for their mortgage BEFORE we go look at homes.
Once you have a loan officer analyze your complete loan file and give you a pre-approval letter...
We then know:
- What price range you should be shopping in!
There is nothing worse than test driving the Mercedes if you can only afford the Honda!
- If their are any challenges with getting you approved upfront!
That way we can know how to work around them!
- How to structure your offer!
Many times a home buyer will not qualify for a mortgage unless the seller is willing to credit them money for closing costs. If we don't know that going in... we won't know we need a home with a seller who will provide this incentive.
- What types of homes you should be looking for!
Sometimes I work with buyers who are using a special mortgage program that requires a specific house in a specific zip code. If we didn't know that upfront, we will spend time looking at homes you can't buy!
I can't stress this enough! Do yourself a favor and get pre-approved before you get out and look at Elk Grove homes. You will be glad you did!
If you would like to be pre-approved and want to deal with someone you can trust... Call Todd Newington (my husband) with First Prioirty Financial in Elk Grove at (916) 687 -6868!
If you are looking to buy or sell a home in Elk Grove, please reach out to me by phone (916) 585-3858 or send me an email to ErinNewington@kw.com !
I'm here to help! Call me!

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