Fredericton Office

Phone: 506.452.9888

Ormocto Office

Phone: 506.357.9888

Woodstock Office

Phone: 506.325.9057

Social Media Links

Serving Your Real Estate Needs In:    FREDERICTON

Real Estate in Fredericton

283 St. Marys Street
Fredericton, NB
E3A 2S5

Email
Phone: 506.452.9888
Fax: 506.452.1590
· OROMOCTO

Real Estate in Oromocto

3 Gateway Mall
Oromocto, NB
E2V 4R3

Email
Phone: 506.357.9888
· WOODSTOCK

Real Estate in Woodstock

626 Main Street
Woodstock, NB
E7M 2C5

Email
Phone: 506.325.9057
Fax: 506.325.9359

Should You Get Pre-Approved for a Loan First??

MOST DEFINITELY!!

Most mortgage lenders take the guess work out of applying for a loan by determining for you the amount you can afford to borrow. Then, they give you a printed document stating the maximum mortgage amount you qualify for based on your particular finances and income.

Mortgage pre-approval establishes your price range and strengthens your buying position by letting the seller know that you have already been approved for the loan. It can also ease time constraints once the purchase agreement is signed between buyer and seller.

Consider these Scenarios:

You're out looking at homes. Your Real Estate Associate never mentions that you should get pre-approved and just ballparks what you can afford. Of course, the more house he shows you, the better he usually comes out. You find the perfect house and work out a deal with the seller. Three weeks later, the lender informs you that the house is $10,000 over what you qualify for and does not approve your loan. The seller has already bought another house. You've given notice where you're renting and told all your friends about the great house you bought. And then, there's the money you've already spent on inspections on a house you can't own.

or

You and your REALTOR® have been working diligently finding that "perfect" home. A new listing comes on the market that's priced right and has got everything you've been looking for. You write an offer. Your REALTOR® takes it to the listing REALTOR® and is informed that another offer is coming in and will have to present both offers simultaneously to the Seller. The other Buyer is pre-approved for his loan. Whose offer do you think the seller will negotiate first??