Question: Why do I need a Mortgage Prequalification letter if I haven’t found a house yet?
Fredda’s Answer: Many buyers can’t get mortgages these days that thought they could. It’s an important (and painless) step to call a mortgage broker, give him your info and make sure that you are qualified as well as comfortable with what the payments would be on a home given today’s interest rates, which change daily and can impact your mortgage $100’s of dollars per month.
It’s unfortunate when buyers find a home and than discover that either they can’t afford it, can’t get a mortgage due to problems they didn’t know existed, or that they aren’t comfortable with the payment.
Therefore, before we see houses, I always ask that buyers have confirmed that these things aren’t going to be a problem. So, if you are working with someone and they have confirmed that you are prequalified for a mortgage and you are comfortable with the costs (downpayments, closing costs and future monthly payments) we are all set. If you haven’t spoken to anyone in a while, it’s smart to call someone that is trusted like Jorge Rivera of William Raveis Real Estate (203) 913-1633 to be sure that what you are being quoted as far as rates and closing costs are true. Unfortunately, some mortgage brokers due a “bate and switch” with interest rates where they claim they can get you a really low rate to get your business and then make an excuse later about your credit or situation that causes the rate to be higher. I have had the misfortune of seeing this twice this year happen to my buyers who went with a different broker who they ”trusted and had great rates” just to find out that they had to pay a much higher rate and closing costs or risk lose the house they were scheduled to close on.
Anyhow, it’s just a quick phone call to Jorge to make sure that you qualify, can afford, and are comfortable with a mortgage. Please call Fredda First for more information: (203) 259-6789.
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