BlueWater Realty of Pine Island, Inc
Donna Gilles, BlueWater Realty of Pine Island, IncPhone: (239) 425-5426
Email: [email protected]

2 Major benefits of getting preapproved for a mortgage

by Donna Gilles 02/06/2023

Getting preapproved for a mortgage is an important part of the home buying process. While technically not required before you begin your home search, there are some key advantages to getting preapproval from a lender before you get too deep into the process.

Here are some of the main reasons why to consider getting preapproved for a mortgage:

Know how much you can afford

Cost is one of the major factors you’ll be dealing with in finding a new home. A house is a significant investment and one of the biggest purchases you’re likely to make, so it’s crucial to understand your financial situation clearly early on.

Mortgage lenders will examine your finances, using things like credit history, investment account statements and debt-to-income ratio.

With this careful analysis of your financial situation, a mortgage preapproval can help you determine how much you can afford to spend on a house before you start looking. It will help you estimate how much of a down payment you can offer and how high an interest rate you can comfortably afford while paying back your mortgage.

Gain a competitive edge

The real estate market is constantly changing, both across the country and across your local area. Economic shifts can make a huge difference in the availability of homes for sale and their prices. It can also make a difference in how much competition you’ll have for the same property.

Getting mortgage preapproval will give you an advantage over other potential buyers because it will communicate to sellers that you’re financially qualified and less of a risk.

As long as you don’t make any major changes that could affect your financial status, having mortgage preapproval shows you have the financing to back you up. Sellers may be more likely to choose you over another buyer if they have the reassurance of your mortgage preapproval letter.

While the mortgage preapproval process itself might seem daunting and complicated, the benefits can certainly outweigh the inconvenience. Keep these advantages in mind when considering whether to get preapproved for a mortgage.

About the Author
Author

Donna Gilles

Phil Gilles

Direct: 239-425-5423 | Email: [email protected] 

Donna Gilles

Direct: 239-425-5426 | Email: [email protected] 

Donna and Phil Gilles are two of the most respected Pine Island Florida Real Estate Agents. Their dependability, honesty and integrity are truly a "cut above” in the real estate profession. 

Donna and Phil started BlueWater Realty of Pine Island on September 11, 2002, realizing Pine Island was in need of a real estate family that was a step above the mass marketers that dominate the real estate profession. Donna and Phil’s in depth real estate training include: investment management, brokerage, marketing high-end homes, real estate law, ethics and practice.

If your immediate future requires counseling in the purchase or sale of real estate, please contact Donna or Phil. They are professionals who will work hard for you to help achieve your real estate goals