Get pre-qualified as early as possible
There are a couple of reasons for this. First, buyers need to know how much house they can afford and what kind of money they will need for down payment and closing costs. You need to be sure that you are qualified and for how much you are qualified.
There’s no way to get good estimates on rates without getting yourself pre-qualified. Your lender will provide you with what is refered to as a GFE, or a good-faith estimates and the costs associated with those rates to use in your calculations. This is simple and doesn’t require a lot of documentation. That comes later, when you get pre-approved for a purchase.
Getting pre-qualified early also can give borrowers with decent credit time to make small adjustments that will affect their credit score, and get better rates.
Credit scores are put in bracketed ranges for pricing and so a difference of a digit or two, could set you back 1/8 to 1/4 of a point over the life of the loan.
As a buyer looking to get a home loan, you will want to get all of your documentation together - pay stubs, bank statements, etc.
Please contact a real estate expert with The Chappell Team to further discuss this subject matter or any other real estate related issues.
