Why get pre-approved for a mortgage before you begin your search for a home? Because there are 3 people who will benefit from your preapproval: You, your Agent, and the seller from whom you eventually buy a home!

You: The most important beneficiary, of course, is you. By starting the pre-approval process, you will get most of your questions answered including, how much of a mortgage can you qualify for? How much your payments will be? What kind of a rate will you be able to get? What product? The mortgage prequalification step is a relatively simple one, but it is an important one. It begins the process of formally applying for a mortgage, and it gives everyone involved--especially you--a clear sense of direction.

Your Agent: By knowing what your financial parameters are, your Agent can spend more time looking for houses that "fit" and less time pursuing dead ends.

The Seller: Want to strengthen your bargaining position? Get a pre-approval. Want your offer to stand out in a case of multiple offers for the same house? Get approved! Look at it from the seller's perspective. If you had 2 offers on the table for your house, one from a fully approved buyer and the other from a pre-qualified buyer--to which offer would you devote the most attention to?

It is important to remember that the amount of mortgage you will qualify for is the maximum. It is the amount that the lender feels you can afford, but it is not necessarily the amount that you want to pay. It sometimes is advantageous to be conservative here. It's best to try not to push yourself to the limit. Too many buyers simply rush off to the maximum level and some find themselves strapped when it comes time to purchase necessary items (such as draperies, additional furniture and lawn and garden tools, for example) or when they forget to factor in increases in monthly expenses (for example utilities and maintenance and repair costs).

Click here to get pre-approved

TOOLS
	Affordability How much home can you afford? Our calculator can help.
	Monthly Payments Understanding your monthly costs can help you plan ahead and make important housing decisions.
	Rent vs Buy Some can save money owning versus renting. Figure out what makes the most sense for your situation.