...and what's the difference between
Pre-Approval and Pre-Qualification?

Well, the answer to the first question is definitely YES! Being pre-approved carries more financial weight and is viewed by a home seller as more favorable than being pre-qualified. Here's the basic difference between the two...

Prequalification means that you've talked to a banker or loan originator for about 10 minutes and you provided some basic information about your income and debts.
Preapproval means you filled out a mortgage application and the bank verified the information you gave them.

A home seller needs to ensure that any sales contract He or She enters into has the best possible chance of successfully closing escrow. Problems with financing can cause lengthy delays or even force escrows to fall-out completely. Any steps a buyer can take to better demonstrate his or her ability to complete the transaction are welcomed by the seller.

While nothing can guarantee acceptance of an offer or a successful escrow, in our opinion a pre-approval letter, which states the loan amount and rate at which the lender is willing to finance the buyer, carries more weight. Sellers are more inclined to accept offers which include pre-approval letters and we encourage all serious buyers to obtain one through their lender of choice.

Call us for more info about submitting and accepting offers... We're here to help!