Often you heard or your real estate agent talked about the importance of getting a letter of approval from a bank or Mortgage company. Agents are asked and expected to see buyers have this letter before showing property. Sellers and listing agents are assuming buyers have taken the time to get this require letter, and the agent that is working with the buyer have seen this letter> THis letter shows three important things to everyone:
. You are a serious buyer.
. You are looking at houses that you are able to buy.
. You have the means to buy.
Agent Remarks: THIS IS A SHORT SALE AND REQUIRES 3RD PARTY APPROVAL AND MAY HAVE TIME CONSTRAINTS. COMMISSION WILL BE SPLIT 50/50. PLEASE SUBMIT ON A FAR/BAR AS IS CONTRACT WITH PREAPPROVAL LETTER OR PROOF OF FUNDS. The bank is firm with this price, lower offers will not be considered.
It really makes no difference, if the property is a short sales, foreclosure or re-sale. Sellers do not want to take their property off the market to other potential buyers, only to find out later the pending contract is going to be void because the party supposely buying the property are unable to finance the property. Such occurrences not only damage their property but they may have lost to a potential buyer that was actually, willing, able and capable, because it was tied up with one not able and capable.
That potential buyer has not walked away unblemished. They have not only wasted every ones time, but has occurred expenses that are totally lost. It can range as much as $ 1000.00 dollars or more.
There are steps you can do to avoid this, maybe unpleasant and burdensome, but necessary, require and a wise must thing to do before actually looking at houses.
. Check your credit reports and pay off as much debt as possible, correct any errors if discover.
. Get your recent financial statements, past 2 years tax reports, recent w2 statements, and other proof of income ready to submit.
. Work with a mortgage company that can assist and oversee your loan application and provide you with needed answers to any financial question you have. Like, what will my monthly payment be?
Of course you are encouraged to shop around and used the service that best suit you. Only, never have a hard check done unless you are actually buying. Too many of these can lower your credit score. But do have it done, to give yourself the comfort of knowing you are, able, willing and looking in a price range that would keep you wondering if you can afford to buy the property or not.
You have just passed your first huddle. Happy House searching!!
Hope this was insightful. Please any questions, in need of any information, another lender that I work with that can help you close sooner, or having problems please give me a call, shoot me an email. You can also go to my weblog under the “ABOUT” Tab and get useful links. If you need an agent, unhappy with the one you have, use the “SEARCH AS AN AGENT” link and sign there. I will be sending you a real estate map if you provide me your mailing information. Expect it in 10 days or less. NO I do not share your private information with others and will ask you, if ever I need to and it would be regarding closing the deal you have on a house.
“Pictures without the information is never the whole and true story ~!” Realtor RonW
Thank you for taking the time to read my post,