Getting pre-approved for a home loan?

what do i have to do in order to get pre approved for a home loan, do i go to my bank or a real estate agent??

5 Answers

  • 1 decade ago
    Favorite Answer

    Buying a house is a step by step process, this is the first step. Once this step is taken the others will fall in place for you.

    In order to find out the type of loan programs you are qualified for you will have to fill out a loan application, with a mortgage broker, which you can find one in your local telephone book.

    Make sure this mortgage broker or mortgage banker is able to do government loans such as FHA and VA loans if you qualify for one.

    He will fill out this application, which takes awhile so grab your favorite beverage and sit down. Once you have completed the application, he will run your credit report which will have your credit scores. These credit scores will determine your interest rate.

    The amount of your monthly debt payments you are required to pay as per your credit report and the amount of mortgage you can take on based on your income will determine the amount of house you will be able to purchase.

    When you speak with the mortgage broker you will need the following documents to complete the loan application, there will be others, but this will get you started.

    #1 One month of pay stubs for each person that will be on the mortgage.

    #2 Six months bank statements from each bank in which you bank as well as statements from any 401K from you place of employment.

    #3 Two years of federal income tax along with the W-2 that match.

    Once he has all that he need to do he can then issue you a pre-approval letter so you can purchase a home. In this pre-approval letter will be the amount of house you are qualified to purchased.

    Once he gives you this pre-approval you may now find a real estate agent to find yourself a home or he might have a referral.

    Now make sure before you get your pre-approval you and your mortgage broker go over all your options as to the mortgage programs you qualify for, the interest rate, monthly payments.

    If you are getting a FHA, fixed rate, two loans to eliminate PMI like an 80/20 or one loan, if you are qualified for and approved for a 100% loan.

    You should select the loan that best suit your financial condition at the time. That could be an adjustable rate loan. It could be a fixed rate loan for 5 or 10 years and then adjust. Some adjustable rate mortgages only adjust once.

    Make sure your mortgage broker explain all your options so you may make an intelligent decision.

    What might be good for one person might not be good for you, in other words just because your friends and all your real estate buddies are telling you about the great fixed rate they got, your financial situation might call for something else.

    So select the best option for you and your financial situation.

    You should also get a Good Faith Estimate (GFE) which will indicate the cost you will have to pay for getting this loan. It will also indicate the amount of your down payment.

    Once you have found a home the real estate agent will then prepare a contract for you and the seller to sign.

    Your mortgage broker will now order an appraisal to show proof of the property value.

    The mortgage broker might ask for additional information or documentation, don't get all up tight this is normal, just supply the information or find the documents needed.

    After the appraisal has been completed you will be called by your mortgage broker to sign your loan docs so you can take possession of your new home.

    Before signing any loan docs make sure they say exactly what you and your mortgage broker went over when you decided on what mortgage program was best for you.

    I hope this has been of some benefit to you, good luck

    "FIGHT ON"

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  • angela
    Lv 6
    1 decade ago

    Call or go to a bank or mortgage broker. They will ask for your information and then tell you if they can give you a loan and how much they are willing to lend you. Ask for their information too. Such as interest rate, points, closing costs, origination fees, etc. You can call around to different places and get the information and then decide which one you want to apply with and have that one pre-approve you. Some places charge points in order to offer a lower interest rate. A point equals 1% of the loan value and has to be paid at closing. So, if you don't have much cash for closing costs you'll want to get a loan without points. Origination fees work the same way.

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  • 1 decade ago

    You contact a lender ( Bank of america, your bank, etc) and call their line for home loans to get pre approved. You can also visit to see the current rates and some banks and lenders that you can choose from for a home loan. The answer is to pick a Lender of your choice and contact them to get pre approve or see what you need to do to be able to be pre approved. They will go over your income, credit scores, financial history, employement, etc to see what you qualify for or what may need to be improved.

    The agent is who helps you to find a home and make an offer on it. They also deal with you Lender to make sure you are getting the house that you can afford as well. If you pick an agent first you may be able to get suggestions from them for a Lender, but it is up to you.

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  • Anonymous
    4 years ago

    Your going to need a down payment. The only way I would pay down debt is if after you are pre-approved, you need to lower debt for Debt to income purposes. Banks are more comfortable with reserves, so I would make sure you have it in an account, and not stuffed in a mattress somewhere.

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  • Anonymous
    1 decade ago

    i am ochise from Russia , it was with the glory of God that i was given a loan by mr samuel mark of gold star international finance company , i see you to be of need , go to him he will help you for a loan . here are the contact to meet him .

    Name... Mr Samuel Mark

    Email ...

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