Mortgage Pre-Approval
Sorry to ruin the fun by talking about money, but, alas, one of the first things to do before getting into the process for purchasing a home or condo in Boston is to figure out how much house you can afford. You probably have a good idea, but-
You absolutely need to get pre-approved for a mortgage at the beginning of this process.
This means that a qualified lender will pre-commit to approving you for a certain loan amount (contingent upon aspects of the property you want to purchase, as well of proof of the info you've supplied). It's a way of minimizing unpleasant surprises at critical junctures later in the purchase process.
Additionally, sellers will want to see a copy of your pre approval letter before they remove their property from the market. The pre-approval serves as your credential, a sort of minimal proof of your ability to purchase their property.
Download my free Buyer's Transaction guide
In this low-inventory market it is best to submit a pre-approval letter along with your offer to purchase. There are potentially other buyers for the property you are interested in and this will help maximize your chances of getting the property. You may not have a second crack at it.
Obtaining a mortgage has gotten a whole lot more problematic in the last few years, and we need become aware of any potential problems before they become real problems.
Don't make these mortgage mistakes that will kill your transaction.
You are under no obligation to go with the lender that pre-approves you. You should be concentrating on getting pre-approved, but it is a good time to start getting info. By speaking with several lenders, you can start to become familiar with some of the options: What will the closing costs be? What are the available programs and rates? Are there prepayment penalties? All these issues are important, but you don't have to make those decisions at this juncture.
Finding the right lender for the job.
There are a few trusted lenders that past buyers of mine have been very happy with that I like to pass along.. They know the local market inside and out, which is more important than ever. And depending on the borrower or the condominium association, one may be more appropriate than the other. For instance, is it a simple home purchase or a condo association that's very straightforward? Or is it in a low-owner occupancy association or an association with one owner of multiple units? Are you looking for a physician loan?
If you'd like to get some of those names, please feel free to contact me at +1.617.584.9790. or joe.wolvek@gibsonsir.com
Additionally, Here are some nifty mortgage calculators you might be interested to try.
