Buying a home is an exciting time in one’s life, and why shouldn’t it be? You’re about to make one of the biggest purchases in your life, and it’s somewhere you could be living for years to come. When considering the first steps in the home-buying process, you need to know an estimate of how much money you could be qualified to take out in a loan from a bank to purchase a home. This is known as being “pre-approved for a mortgage” and is one of the key steps you should consider before beginning your home loan journey
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What is a Mortgage Pre-approval?
Quite simply, it is a process where your lender may conditionally approve your loan before you formally apply for a mortgage. The lender will evaluate your finances and review your reliability to make repayments for your home loan. Once deemed eligible, you will be granted conditional pre-approval to borrow up to a specific amount.
The importance of having pre-approval is the usefulness it provides when looking for property to buy.
How to get pre-approved for a mortgage?
Before you seek pre-approval for a mortgage, you will most likely shop around for a lender you feel comfortable with, and who can provide you with the competitive rates and terms. This isn’t an easy process, and it takes time, but talking to multiple lenders will ensure you find the most suitable one for your financial situation. If you engage a mortgage broker to work with you during your loan process, they can assist you in finding suitable rates and terms amongst the hundreds of lenders available in the lending marketing.
Our team of lending specialist at Abacus Finance can help you find the right lender that you have a high chance of increasing your prospects of pre-approval success Speak with us today to learn how you can maintain your finances while you are on pre-approval.
What do you need to get pre-approval?
How long it takes to get pre-approved for a home loan?
The time taken to get pre-approved can vary depending on your current situation and the different factors involved in the application process. From the initial application interview, your lender will take down relevant information, including your total income, debts, assets and your monthly expenses. They might also ask for information related to the property you want to buy, including the type of property it is and the location.
Where can I get pre-approved for a home loan?
Our team of professional mortgage brokers can help you identify the right lender and act as an intermediary to ease the pre-approval and application process. Discover how Abacus Finance can increase your prospects of pre-approval success today!
The information in this post is general in nature and should not be considered personal or financial advice. You should always seek professional advice or assistance before making any financial decisions.