A mortgage pre-approval letter from a certified lender like Golden Oak Lending provides an estimate of the loan amount, interest rate, and monthly payment you qualify for based on a review of your credit score and overall financial situation. For serious homebuyers, pre-approval is the initial step in the home-buying process because it shows sellers you are serious about purchasing their property. In the competitive Kansas City housing market, pre-approval can help your offer stand out from the competition.
Advantages of Getting Pre-Approved for a Home Loan
- Make Your Offer More Competitive For homes with many offers, motivated sellers that want to sell fast, or in competitive housing markets, a pre-approval letter shows you have taken the first step in the home-buying process and are verified as financially capable of purchasing a home by a certified mortgage lender. An home offer with a pre-approval letter makes your bid more attractive and competitive than other interested buyers.
- Establish Your Price Range By getting pre-approved, you will be able to establish the price range of homes you can comfortably afford and more accurately determine your house budget. The pre-approval process utilizes a lot of the same financial information as a mortgage application, so you can determine how much your lender is willing to offer you based on your finances, so you do not waste time looking at homes out of your budget because there is nothing worse than falling in love with a house you cannot afford.
- Fix Issues with Your Application Unexpected errors or credit issues can prevent even responsible borrowers that pay their bills on time and have an acceptable debt-to-income ratio from getting the mortgage they need. With pre-approval, a certified mortgage lender will be able to determine any potential issues with your application, allowing you to improve your financial situation before actually applying for a mortgage and place yourself in a stronger buying position.
- Faster Closing When you get pre-approved for a mortgage, most of your financial information is verified, which makes closing on your home a smoother and faster process.
Pre-Approval with Golden Oak Lending Kansas City
At Golden Oak Lending, our mortgage lenders understand that in Kansas City's competitive housing market an advantage over the competition could be the deciding factor in your offer that gets you your dream home. As a certified mortgage lender, our Kansas City team will work hard to quickly process your application and provide you with the best estimate you qualify for. If you are ready to purchase your new Kansas City home, schedule a free pre-approval consultation today!