Monday, October 26, 2020

How Do You Know If You Can Afford A House?

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You're ready to buy a house but not sure if you can afford it and for how much? What is the best way to find out? Simple. GET PRE-APPROVED.

Getting pre-approved involves submitting an initial mortgage application along with other supporting documents. The lender and its team will verify all the info you provided and review your file to evaluate credit worthiness. They go over your income, your debts, your assets and credit history among other things to determine not only the amount of loan you qualify for but also what your monthly mortgage payment will be and what your interest rate is.

It should be no cost to you so if someone ask you for money upfront, run. I will advise that you reach out to your agent (preferably me) who usually work with loan officers that they trust and they know can deliver. Don't worry, kickbacks are illegal so don't think that the agent is getting something in return for referring you to any lender. 

Keep in mind that you may get pre-approved but the loan amount may not be significant enough to get you into a home. There are many factors they take into consideration to evaluate you as borrower. 

You may not even get pre-approved by the lender, The good thing is, if your loan officer is good, he or she will usually help guide you in the right direction to get you ready to own your home in the future. It doesn't mean "no." It just mean "not right now". That's why it is important to work with a solid agent and loan officer. 

Special note: If you or someone you know is looking to own, sell or invest in real estate in Canyon Lake - Menifee area and the surrounding cities, I'd love to help! 

Angela Carpio, Realtor


Coldwell Banker ABR

Lic. #01967762


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