If you’re like many people, you’re excited about the prospect of house-hunting in Baltimore County or Howard County. Your dream home may be around the next corner – who wouldn’t be excited about that?
But before you get click-happy and start ranking the homes you see online, you should take a few minutes to get preapproved for a mortgage with a lender. Here’s why.
Why You Should Get Preapproved for a Mortgage Before You Start Your House-Hunt
Unless you plan to buy a home with cash, you’ll need a mortgage loan to finance your next home purchase. That means working with a lender who will decide whether to let you borrow enough to buy a house – and if the lender decides in your favor, it will tell you exactly how much you qualify to borrow. In fact, that’s the main reason you should get mortgage preapproval before you start house-hunting; it lets you know exactly how much house you can afford (or at least how much a lender is willing to give you).
Other than that, you need mortgage approval because:
- It shows sellers that you’re a serious buyer
- You can pounce on a house when you decide it’s a good buy
- It makes the lending process faster and more efficient
Here’s a closer look at each.
Reason #1 to Get Mortgage Preapproval: It Shows Sellers You’re a Serious Buyer
When you make an offer on a home, what you’re really doing is asking the seller to take it off the market just for you. To convince a seller that you’re a serious buyer who’s worth taking the home off the market for, you should include a preapproval letter that shows the seller that a bank is willing to let you borrow enough money to actually buy the home.
Reason #2 to Get Mortgage Preapproval: You Can Pounce on a House When You Decide It’s a Good Buy
When you find a home that you want to buy, you should make an offer right away. If you don’t, someone else will – and if that person is preapproved for a mortgage, there’s a good chance that the seller will accept their offer. You can keep yourself competitive (and able to jump on a great deal) by getting preapproval from a lender before you even start touring homes.
Reason #3 to Get Mortgage Preapproval: It Makes the Lending Process Faster and More Efficient
In order to preapprove you for a mortgage, your lender will want to look at your financial history. That includes running a credit check on you, looking through your tax statements and pay stubs, and evaluating your financial preparedness. Those are some of the same things you have to do to get a mortgage loan, which means you’re already ahead of the game when it comes to making your application official.
Are You Buying or Selling a Home in Baltimore County or Howard County?
If you’re ready to buy or sell a home in Baltimore County or Howard County, we can help. Check out these listings:
- Homes for sale in Baltimore County
- Homes for sale in Howard County
- Homes for sale in Ellicott City
- Homes for sale in Columbia
- Homes for sale in Catonsville
- Homes for sale in Owings Mills
- Homes for sale in Pikesville
If you’re thinking about selling your home, we can help you sell it quickly – and at the best possible price. You can:
- Find out how much your home is worth now
- Learn how we market your home to put it in front of all the right buyers
- Get a general overview of home-selling in Maryland
If you have specific questions, fill out the form below or call us at 443-955-1227 – we’re here to help you with any aspect of your real estate transaction.