inception-app-prod/OTE4YTgwNTEtZDUyZC00ZTYzLTgxZjUtZDAxOWI5ZmJmYjAx/content/2022/01/5beab16269fc5230d307a76ea7d0021622a88601.jpg
Exceeding the Standard.
  • Home
  • Search Listings
  • About Us
    • Our Agents
    • Community Service
    • Testimonials
  • Selling a Home
    • Why Stage Your Home?
    • What is my home worth?
  • Buying a Home
    • Mortgage Payment Calculator
  • Blog
  • Contact
inception-app-prod/OTE4YTgwNTEtZDUyZC00ZTYzLTgxZjUtZDAxOWI5ZmJmYjAx/content/2020/11/rft10200015orig-2copy.jpg
978.935.9800
robinflynnteam@kw.com
Sign In
Sign Up
inception-app-prod/OTE4YTgwNTEtZDUyZC00ZTYzLTgxZjUtZDAxOWI5ZmJmYjAx/content/2022/01/5beab16269fc5230d307a76ea7d0021622a88601.jpg
Exceeding the Standard.
  • Home
  • Search Listings
  • About Us
    • Our Agents
    • Community Service
    • Testimonials
  • Selling a Home
    • Why Stage Your Home?
    • What is my home worth?
  • Buying a Home
    • Mortgage Payment Calculator
  • Blog
  • Contact
inception-app-prod/OTE4YTgwNTEtZDUyZC00ZTYzLTgxZjUtZDAxOWI5ZmJmYjAx/content/2022/01/5beab16269fc5230d307a76ea7d0021622a88601.jpg
Exceeding the Standard.
inception-app-prod/OTE4YTgwNTEtZDUyZC00ZTYzLTgxZjUtZDAxOWI5ZmJmYjAx/content/2020/11/20200827-kcm-share.jpg

Why Is It so Important to Be Pre-Approved in the Homebuying Process?

inception-app-prod/OTE4YTgwNTEtZDUyZC00ZTYzLTgxZjUtZDAxOWI5ZmJmYjAx/content/2020/11/rft10200015orig-2copy.jpg
Robin Flynn Team ,09/1/2020

 

You may have heard that pre-approval is a great first step in the home buying process. But why is it so important? When looking for a home, the temptation to fall in love with a house that’s outside your budget is very real. So, before you start shopping around, it’s helpful to know your price range, what you’re comfortable within a monthly mortgage payment, and ultimately how much money you can borrow for your loan. Pre-approval from a lender is the only way to do this.

 

According to a recent survey from realtor.com, many buyers are making the mistake of skipping the pre-approval step in the homebuying process:

“Of over 2,000 active home shoppers who plan to purchase a home in the next 12 months, only 52% obtained a pre-approval letter before beginning their home search, which means nearly half of home buyers are missing this crucial piece of paperwork.”

 

This paperwork (the pre-approval letter) shows sellers you’re a qualified buyer, something that can really help you stand out from the crowd in the current ultra-competitive market.

How competitive is today’s market? Extremely – especially among buyers.

With limited inventory, there are many more buyers than sellers right now, and that’s fueling the competition. According to the National Association of Realtors (NAR), homes are receiving an average of 2.9 offers for sellers to negotiate, so bidding wars are heating up.

Pre-approval shows homeowners you’re a serious buyer. It helps you stand out from the crowd if you get into a multiple-offer scenario, and these days, it’s likely. When a seller knows you’re qualified to buy the home, you’re in a better position to potentially win the bidding war and land the home of your dreams.

 

Danielle Hale, Chief Economist for realtor.com notes:

“For ‘a buyer in a competitive market, it’s typically essential to have pre-approval done in order to submit an offer, so getting it done before you even look at homes is a smart move that will enable a buyer to move fast to put an offer in on the right home.’”

 

In addition, today’s housing market is also changing from moment to moment. Interest rates are low, prices are going up, and lending institutions are regularly updating their standards. You’re going to need guidance to navigate these waters, so it’s important to have a team of professionals (a loan officer and a real estate agent) making sure you take the right steps along the way and can show your qualifications as a buyer at the time you find a home to purchase.


Bottom Line

In a competitive market with low inventory, a pre-approval letter is a game-changing piece of the homebuying process. If you’re ready to buy this year, let’s connect before you start searching for a home.

Print Details
Previous post
Next post
The Top Reasons People Are Moving This Year
Three Ways to Win in a Bidding War
inception-app-prod/OTE4YTgwNTEtZDUyZC00ZTYzLTgxZjUtZDAxOWI5ZmJmYjAx/logo/2016/11/RF_print logo_final-2.jpg

Office

Robin Flynn Team Keller Williams Merrimack Valley3 Lan Drive, Suite 300
Westford, MA 01866

phone: 978.257.0677 | fax: 978.935.9800

robinflynn@kw.com

Essentials

  • Home
  • Meet the Team
  • About Us
  • Buying a Home
  • Selling a Home
  • Listings Search
  • Blog
  • Contact

Consumer Protection & Privacy

  • Accessibility
  • DMCA Compliance
For ADA assistance, please email compliance@placester.com. If you experience difficulty in accessing any part of this website, email us, and we will work with you to provide the information.

© 2022 All rights reserved

Created with Placester

Sign in

Sign In
Forgot your password?
Create an account
You have been successfully logged in
The page will reload automatically.
Go to the homepage
Sorry something went wrong
Login or password are incorrect. Please try again.
Try again

Sign Up

Sign Up
Already a User? Sign In
You have been successfully registered
Please check your email.
Go to the homepage
Sorry something went wrong
Please try again.
Try again

Reset password

Enter your email address

Reset password
Return to Log In
Reset password email has been sent.
Go to the homepage
Sorry something went wrong
Please try again.
Try again

Change password

Change password
Sign Up
Your password has been successfully reset.
Go to the homepage
Sorry something went wrong
Please try again.
Try again
Send
Succes! Your message was sent!
Thank you! We will be in touch shortly.
Back to homepage
Oops! Error occurred.
Please try again.
Back to form
Already a User? Sign In

Account verification in progress

Please wait...

Account Verified!
You may now log in into your account
Go to the homepage
Verify your email address
In order to log in to your account, you need to confirm your email address. Please check your inbox!
Go to the homepage

Share this listing

Copy Link