Already pre-qualified, but need higher loan... what could i do?

So, I went to the bank, and they pre-qualified me for $90,000; however, the place I want is $120,000. Could I switch banks to see if someone will approve me for more? I haven't signed any papers or anything yet.

I also sent an offer for my dream place and the seller said it's way toooooo low (which is because the house is worth $142K, that's why I wanna get pre-qualified with someone else... could I do that? plz help.

9 Answers

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  • E&L
    Lv 7
    1 decade ago
    Favorite Answer

    When a bank pre-qualifies you for an amount, that is the upper limit of what you can afford, if you keep you spending to a minimum (no new cars, extravagant vacations or big spending). Most people will try NOT to exceed that amount since it will cause them to be burdened with a high mortgage payment. If one bank gave you the upper limit of $90,000, another may qualify you for a few thousand more, but not an additional 25%. Be careful if someone DOES pre-qualify you for more, and work out how much more per month it will cost you not only in payments, but insurance and taxes. You could easily find yourself defaulting in a couple years if you unexpected expenses.

  • Anonymous
    1 decade ago

    you must not make enough money to qualify for a $120,000 or they would have already told you that - you are going to get the same answer no matter where you go - it's all based on the same info - your income, credit score and debt levels-

    you usually will NOT be approved for a mortgage more than 2.5 to 3 times your annual salary

    you would need to make about $50,000 a yr and probably have at least $15-20,000 in cash for down payment and closing costs to buy a $142,000 house

    start small with your first house - someday, you may make enough to buy your dream house

    I make about a $100,000 a yr and my total mortgages for 3 houses (+ a 2nd mtg for windows) and a plot of land only total about $220,000 - less than 2.5 times my annual salary and I plan on staying in my primary house until I retire in 13 yrs or so - I'll own the other two investment properties outright by then, as well as the land

  • 1 decade ago

    Why would you buy now when the home price is nowhere near a bottom? Factor in the banks are holding millions of homes not listed on the market that have been foreclosed on to help slow a complete collapse in home prices. Factor in that every 90 seconds a home in the USA is foreclosed on. Factor in that millions of ARMS are set to adjust for the next few years causing millions and millions of home owners to go into foreclosure. Factor in the program Obama made to force banks to readjust struggling home owners into a new payment plan is now flopping causing the homes to once again go into foreclosure. Market is collapsing and real estate agents wont tell you this as they make their living on you buying, mainstream media will not tell you this, nor will the messaged government numbers, but I have and the information is online for you to do your own research.

    Now is not the time to buy when you can buy this same home in a year or two for 50% less or more then the current asking price.

  • ?
    Lv 4
    4 years ago

    confident you may get pre qualified from greater beneficial than one lender and it won't influence your credit. i'd recommend you get a pre-approval instead. the form? Pre-qualify purely shall we an agent and seller know which you have given elementary counsel and would in all probability qualify for a private loan. Pre-approval ability you have a lender that provide you a private loan for a sequence quantity. this would be plenty greater useful for you interior the long-term.

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  • 1 decade ago

    Here's the best thing for you to do: stop looking at homes over 90K. There is little chance that you will get approved for more money unless you drastically reduce your debts or increase your income. If 90K is what you can afford, do not look at houses that cost more than that, or else you will find yourself wanting something you can't afford, and unhappy with what you can.

  • ?
    Lv 7
    1 decade ago

    No all lending institutions follow the same guide. You can come up with a 30k down payment and then get the 90k loan

  • 1 decade ago

    The amount you are pre-qualified for will not change based on another lender. We have guidelines- your debt to income ratio, your credit scores etc. decide the amount. We are under HUD and Fannie/Freddie guidelines.

    Source(s): 24 years mortgage lender.
  • Lisa S
    Lv 6
    1 decade ago

    Not a popular view...but I think you need to find another house.

    The pendulum has swung. They checked out your assets, and have decided you can afford 90K.

    Taking on a larger mortgage may not be affordable for you.

    Good luck.

  • 1 decade ago

    you could always try it out, but most banks may only offer the same. when i try to get a loan, i may visit a half-dozen banks in a week to see how they compare. then you'll know the market.

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