Alexandria VA Homebuyers Have Yet Another Reason To Get Preapproved |
Your Loan Is No Longer Available
If it's been a while since you've checked in with your mortgage lender, you may want to call and make sure that you are STILL are approved for your mortgage loan.
While not having a pre-approved didn't make this buyer cry, finding out that he would have to make a larger down payment because the previous mortgage that he qualified for was no longer available did come as a surprise!
Realtors can never grow tired of stressing the importance of obtaining your mortgage pre-approval before starting your home search. There are so many emotions involved when buying a home, and having your pre-approval just eliminates the emotion of disappointment when you realize that a house that you fall in love with is out of your price range.
Due to the changes in lending industry, many mortgage programs that were available three or four years ago, have been pulled off the shelf and are no longer being offered today. And even if you have good credit and a stable job history, the lender may require additional documentation today that would not have been requested years ago.
A good example is if you currently own a home and you are moving up to purchase another home. Today, if you intend to rent your home, a lender may ask you to provide rental comparables for homes that have rented in your neighborhood, in addition to a signed lease and proof of a security deposit and first month's rent as a condition of your loan approval. Your lender may also require you to show documentation that you have a certain amount of money in reserves to cover a vacancy, an amount over and above what your estimated closing costs will be.
Here's another example that I've seen first-time homebuyers use as an excuse for not getting a mortgage approval. And that is the fact that they don't have the money for closing costs NOW, but they will have it by the time of closing. Lenders today aren't playing that game...and they shouldn't. Today, a lender will want to see that you have your money for a down payment and closing costs already in the bank.
Alexandria VA homebuyers can take some of the stress out of the homebuying process by taking the initiative to obtain their mortgage approval. There's no cost and no obligation to actually make a purchase, but it's the all too important first step that shouldn't be overlooked.
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