Finding the best mortgage rate is just as important (if not more) as settling in the perfect house.
That’s because the loan amount and correlating interest rate will determine the monthly payments that you will be obligated to make over the next 15, 30 or even 40 years.
Therefore, it’s always wise to get preapproved for a mortgage before you start your house hunt. This way you know your financial limits and don’t stretch beyond them when touring properties available for sale.
In fact, most real estate agents strongly recommend that you are preapproved before they start providing you with potential opportunities because it helps them narrow their searches.
One nice thing about mortgage shopping right now is the super low rates. However, we can all but guarantee that these rock-bottom rates won’t last much longer.
Strike while the iron is hot!
The March 2010 edition of Foreclosure.com’s free educational newsletter, “Investment Exchange,” is now available, which details everything you need to know about “Shopping for a mortgage.”
It is designed to get you familiar with your mortgage options so that you’re on the ball when you do find that once-in-a-lifetime property. You’ll also get handy tips to make your credit squeaky clean before you apply.
So check out “Shopping for a mortgage” today so you’re in a position to get the best terms possible.
To read this month’s free educational newsletter from Foreclosure.com CLICK HERE.
No question about it, the days of real estate agents driving clients around who lack a pre-approval are gone. Without the financing nothing happens. I think the best way to proceed is to move as far into the loan underwriting process as possible from a documentation standpoint. Without an actual subject property, of course, things can only go so far. But from an underwriting standpoint, things can really get nailed down pretty tightly. This is usually known as a ‘conditional approval’.