Friday, March 19, 2021

How a Prequalification Letter Can Help the Homebuying Process

If you’re getting ready to buy a home at Lake of the Ozarks, there are a few items that you can take care of ahead of house shopping to get better results. One of which is getting prequalified for a mortgage. Getting a prequalification letter from a mortgage lender at Lake of the Ozarks has numerous benefits that can assist you in the home buying process. In this week’s blog, I’m going to showcase the reasons to get prequalified before house hunting. Read on to learn more!

What is a Prequalification Letter?

A prequalification letter is a document provided by a mortgage lender that states that they are willing to finance a specified amount of money into your purchase.  The lender will typically run your credit and request a few basic income and asset related documents to determine what you can qualify for. 

Get an Idea of How Much of a Home you Can Afford

While you’re the only person that can truly decide the amount of home you can safely afford, getting a prequalification letter can help provide you with an idea of what your expense ratios will be, or your “debt to income” would be after the purchase. This can certainly help in your decision-making process when shopping homes.

Being Taken Seriously as a Buyer

Another benefit of having a prequalification letter in hand is it will show sellers that you are serious about buying a home. Having this document could give you additional negotiating power when it comes to signing a deal with your sellers. 

Expedite the Loan Process

When you obtain a prequalification letter from a mortgage lender, they will already have a decent idea of your potential for the loan you’re seeking. As long as the documentation you provide during the loan process doesn’t interfere with what’s been reviewed thus far, this can help you get your loan closed faster. 

 As you can see, there are several reasons to get prequalified for a mortgage at Lake of the Ozarks. The housing market is booming, so the faster you can get a contract signed and the deal closed the better. I would be happy to assist you with your mortgage needs to help you purchase a home at Lake of the Ozarks. So, if you’re looking to buy, let’s talk about 

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Michael Lasson
Senior Loan Officer
NMLS #: 493712

4655 B Osage Beach Parkway
Osage Beach, MO 65065

**The postings on this site are my own and do not necessarily represent First State Bank of St Charles’s positions, strategies, or opinions.

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