{"id":1057,"date":"2020-08-27T11:59:03","date_gmt":"2020-08-27T11:59:03","guid":{"rendered":"http:\/\/phphouses.com\/blog\/?p=1057"},"modified":"2020-08-27T11:59:03","modified_gmt":"2020-08-27T11:59:03","slug":"important-pre-approved-homebuying-process","status":"publish","type":"post","link":"https:\/\/phphouses.com\/blog\/important-pre-approved-homebuying-process\/","title":{"rendered":"Why Is It so Important to Be Pre-Approved in the Homebuying Process?"},"content":{"rendered":"
\"\"

Why Is It so Important to Be Pre-Approved in the Homebuying Process?<\/p><\/div>\n

You may have heard that pre-approval is a great\u00a0first step<\/a>\u00a0in the homebuying process. But why is it so important? When looking for a home, the temptation to fall in love with a house that\u2019s outside your budget is very real. So, before you start shopping around, it\u2019s helpful to know your price range, what you\u2019re comfortable within a monthly mortgage payment, and ultimately how much money you can borrow for your loan. Pre-approval from a lender is the only way to do this.<\/p>\n

According to a recent\u00a0survey<\/a>\u00a0from\u00a0realtor.com,<\/em>\u00a0many buyers are making the mistake of skipping the pre-approval step in the homebuying process:<\/p>\n

\u201cOf over 2,000 active home shoppers who plan to purchase a home in the next 12 months,\u00a0only 52% obtained a pre-approval letter before beginning their home search<\/strong>, which means nearly half of home buyers are\u00a0missing this crucial piece of paperwork.<\/strong>\u201d<\/em><\/p><\/blockquote>\n

This paperwork (the pre-approval letter) shows sellers you\u2019re a qualified buyer, something that can really help you stand out from the crowd in the current ultra-competitive market.<\/p>\n

How competitive is today\u2019s market? Extremely \u2013 especially among buyers.<\/p>\n

With limited\u00a0inventory<\/a>, there are many more buyers than sellers right now, and that\u2019s fueling the competition. According to the\u00a0National Association of Realtors<\/em>\u00a0(NAR), homes are receiving an average of\u00a02.9 offers<\/a>\u00a0for sellers to negotiate, so\u00a0bidding wars<\/a>\u00a0are heating up.<\/p>\n

Pre-approval shows homeowners you\u2019re a serious buyer. It helps you stand out from the crowd if you get into a multiple-offer scenario, and these days, it\u2019s likely. When a seller knows you\u2019re qualified to buy the home, you\u2019re in a better position to potentially win the bidding war and land the home of your dreams.<\/p>\n

Danielle Hale, Chief Economist<\/em>\u00a0for\u00a0realtor.com<\/em>\u00a0notes:<\/p>\n

\u201cFor \u2018a buyer in a competitive market, it\u2019s\u00a0typically essential to have pre-approval done<\/strong>\u00a0in order to submit an offer, so getting it done before you even look at homes is a smart move that will enable a buyer to move fast to put an offer in on the right home.\u2019\u201d<\/em><\/p><\/blockquote>\n

In addition, today\u2019s housing market is also changing from moment to moment.\u00a0Interest rates<\/a>\u00a0are low,\u00a0prices<\/a>\u00a0are going up, and lending institutions are regularly updating their standards. You\u2019re going to need guidance to navigate these waters, so it\u2019s important to have a team of professionals (a loan officer and a real estate agent) making sure you take the right steps along the way and can show your qualifications as a buyer at the time you find a home to purchase.<\/p>\n

Bottom Line<\/strong><\/h3>\n

In a competitive market with low inventory, a pre-approval letter is a game-changing piece of the homebuying process. If you\u2019re ready to buy this year, let\u2019s connect before you start searching for a home.<\/p>\n

 <\/p>\n

Contact us:<\/strong>
\nPHP Houses
\n142 W Lakeview Ave
\nUnit 1030
\nLake Mary, FL 32746
\nPh:\u00a0(407) 519-0719<\/span>
\nFax:\u00a0(407) 205-1951<\/span>
\nemail:\u00a0info@phphouses.com<\/p>\n

Let\u2019s Connect:<\/strong>
\nFacebook<\/a>
\nLinkedin<\/a>
\nTwitter<\/a>
\nInstagram<\/a><\/p>\n

THE INFORMATION PRESENTED IN THIS ARTICLE IS FOR EDUCATIONAL PURPOSES ONLY AND SHOULD NOT BE CONSIDERED LEGAL, FINANCIAL, OR AS ANY OTHER TYPE OF ADVICE.<\/em><\/h6>\n","protected":false},"excerpt":{"rendered":"

You may have heard that pre-approval is a great\u00a0first step\u00a0in the homebuying process. But why is it so important? Finish Reading Why Is It so Important to Be Pre-Approved in the Homebuying Process?<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[36],"tags":[38,18,16,27,91,52,23,96,20,238,12,24,48,68,13,28,47,19,6,17],"_links":{"self":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/1057"}],"collection":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/comments?post=1057"}],"version-history":[{"count":1,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/1057\/revisions"}],"predecessor-version":[{"id":1059,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/1057\/revisions\/1059"}],"wp:attachment":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/media?parent=1057"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/categories?post=1057"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/tags?post=1057"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}