Home Loan Pre-Approval

A pre-approval is essentially a lender’s preliminary endorsement that indicates they are willing to finance a loan up to a certain amount. This confirmation is useful for setting a budget for your purchase and can give you an edge in negotiations with sellers, often expediting the process of closing a deal. As someone with pre-approval, you demonstrate that you’ve already navigated the loan application steps and have your documentation in order, signaling to sellers that you are a serious and prepared buyer.

The pre-approval process examines a potential borrower’s capacity to repay the loan, considering factors such as income, living expenses, and any current loan obligations. It also assesses the borrower’s propensity to repay the loan, which encompasses elements like credit history, employment stability, and frequency of residential moves.

Typically, pre-approval has a lifespan of three months, but it can be extended should the search for the right property take longer.

For more information on how to obtain a pre-approval and take the first step towards purchasing within your means, reach out to us today!