Kim Kordela
Coldwell Banker Realty 410-322-0838 410-515-2000

3 Reasons a First-Time Homebuyer Should Get Pre-Approved for a Mortgage

by Kim Kordela 03/05/2020

DID YOU KNOW THAT CURRENT MORTGAGE INTEREST RATES ARE NOW DOWN TO ALL-TIME LOWS? IT'S A GREAT TIME TO QUALIFY FOR FOR A NEW HOME SO IF YOU HAVE BEEN THINKING OF UPSIZING/DOWNSIZING OR ARE A FIRST TIME HOMEBUYER, CALL KIM AT 410.322.0838! FHA LOANS ARE GOING UNDER 3%! WOWWWWW! NOT READY TO MOVE BUT HAVE A MORTGAGE LOAN ABOVE 4%? IT'S TIME TO DO A REFI RIGHT NOW MY FRIEND! NOT GOING ANYWHERE BUT THINKING OF DOING SOME HOME REPAIRS? HOME EQUITY RATES ARE SUPER LOW SO CALL ME! (Flashback: I remember buying my first home back around 1989 at about 8% range. I remember thinking that my parents were SO LUCKY that they were able to buy their home long before me at 4%! These days might not last so please take advantage of these great times!)

Anyway, on to the BLOG!

Do you want to make your 1st time homeownership dream a reality? Getting pre-approved for a mortgage is one of the very first steps in acquiring your ideal residence. Please reach out to me for some ideal lenders at any time.

Ultimately, there are many reasons to receive pre-approval for a mortgage, including:

1. You can establish a realistic homebuying budget! Entering the housing market for the first time can be challenging. In fact, many first-time homebuyers struggle to establish realistic expectations before they begin their home search. And as a result, these homebuyers may end up looking at homes either over their budget or way under what they can really afford.

Pre-approval for a mortgage also allows a homebuyer to map out his or her homebuying journey. With a plan in place, this homebuyer may be better equipped than others to acquire a top-notch residence that matches or exceeds his or her expectations.

2. You can speed up the homebuying journey! If the homebuyer needs to allocate significant time and resources to find a mortgage lender while looking at homes without a pre-approval, it could be wasted time looking at wrong range homes and will slow down the entire process.

On the other hand, a homebuyer who gets pre-approved for a mortgage should have no trouble accelerating the property buying cycle. This homebuyer will know exactly how much money is at his or her disposal, and as a result, can speed up the homebuying journey.

3. You can gain a competitive advantage over rival homebuyers! In many instances, a home seller may be more likely to accept a proposal from a first-time homebuyer who has been pre-approved by a reputable lender for a mortgage versus an offer from a buyer who is waiting on their pre-approval. A homebuyer who has a pre-approval most likely won't have to wait too long to acquire a home. 

Clearly, there are many great reasons for a first-time homebuyer to receive pre-approval for a mortgage. For homebuyers who
want to ensure the best results possible, it certainly helps to collaborate with an experienced real estate agent like KIM KORDELA!

As always, please reach out to me if you have any real estate questions at 410.322.0838!

Kim Kordela, I trust Kim, itrustkim