Pre-Qualified vs Pre-Approved By Rick Jusenius



Getting Ready For a Home Loan

Something that always comes up is the pre-approved and or pre-qualified. Go with the pre-approved as this means your lender has verified all of your information and has reviewed your tax returns along with other financial documentation. This is all really important and presents a much stronger picture with all potential sellers.

It would also be important to go over several monthly payment scenario’s and settle on a monthly payment amount that you’re comfortable with.  Just because you qualify for a really high monthly payment doesn’t mean you want one. A couple of other things to keep in mind would be monthly reserves for taxes and property insurance.

For those of us that are self-employed this also creates some additional documentation. Such as profit and loss statements along with business tax returns to verify income and expenses. Most lenders require a couple of years’ worth in the same line of business

Trying to remove some of those stumbling blocks when making a home purchase is always a good thing. Being proactive and getting your financial situation figured out way ahead of the home search is a really good first step.