Many experts advise first-time buyers to apply for a mortgage loan before shopping around for a house in Holly Springs real estate. This is a very important step in the home buying process. However, it would be much better if you get pre-approved than just be pre-qualified. There are many benefits of getting a loan pre-approval.
When you're pre-approved, you can save time by taking a look at homes you can afford. This can make your task of selecting a house to buy easier, since your options will be limited to those that you're qualified to purchase. This can keep you from wanting an expensive home that is beyond your qualifications. You can ask your real estate agent to send you e-mail listings so you'll have access to almost the same information that agents get.
If you have reduced your options to properties that fit your boundaries and you've saved time, then you'll have more time to spend on checking the details of the houses that really matter to you, such as garage space and the like. Many buyers, nowadays, sort their options based only on prices and never move from that point.
When you've found the home you want to call your own, you'll have confidence that you can buy it, since you're already pre-approved. Having a loan pre-approval can keep you from being disillusioned. This can also reduce nervousness and take away the chances that you'll be disqualified.
Another advantage of being pre-approved is that sellers are much more likely to accept your purchase offer, which can put you ahead of other buyers. This way, your negotiating and bargaining power will be increased. Having a loan pre-approval shows sellers that you're really serious about buying the home and can give them a peace of mind.
If you already have your mortgage loan pre-approved, you'll have the benefit of a faster closing period. Your lender can expedite the processing procedure of your loan application as there's no window period. Moreover, appraisals may be immediately instructed. The closing period can be reduced from 30 days to two up to three weeks. This can be very useful if the seller has to move immediately and there are multiple offers he/she need to deal with; your offer will likely be accepted provided that you can carry out the seller's need to close right away.
Generally, loan approval is the longest contingency to fulfill in a purchase agreement, that's why it's advisable to get a pre-approval letter once you're prepared to start your search for the home you want among the available Holly Springs homes for sale.