The First Step Toward a New Home? Mortgage Pre-Approval | Red Rock Mortgage - Knoxville
Find a house. Put in an offer. Get the keys to the home. Move in. Sounds simple enough, right? Not so fast.
Our team at Red Rock Mortgage - Knoxville wants you to remember one thing you have to do first—get pre-approved for a mortgage.
Why Mortgage Pre-Approval Is Important
The home-buying process, while fun and exciting, can be confusing and stressful, especially to a first-time home-buyer. Because of that, some items can fall through the cracks, including getting pre-approved for a home mortgage.
However, the mortgage pre-approval process is extremely important.
First, when you go through the pre-approval process, you are able to figure out how much home you can afford to buy. This can help you look at homes within your price range and avoid setting you up with unrealistic expectations.
However, it’s also important to remember that just because you’re approved for a certain amount doesn’t mean that you can comfortably afford that amount. Run the numbers to see what monthly mortgage payment truly works for your budget.
Second, you need to get pre-approved for a mortgage before you can even put in an offer on a home in most cases.
In many instances, if you don’t have a mortgage pre-approval letter in hand, sellers will not even entertain an offer or negotiate on the price of the home and closing costs.
In addition, the seller will be more apt to take your offer seriously if you have a pre-approval letter from a mortgage company.
Finally, getting pre-approved for a mortgage before house-hunting can also help you during the hunt for a new home.
For example, say you and another person are falling in love with the same home. But you have a pre-approval letter, and the other person does not. You will be able to use that pre-approval letter as a bargaining tool when negotiating a sales price with the seller.
Are you ready to start the mortgage pre-approval process? Visit the Red Rock Mortgage Knoxville website today to see how much home you can afford before the house-hunting begins!