Newcastle | Bowmanville | Port Hope | Cobourg

Royal Service!   Royal Results!


Head Office: (905) 987-1033

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 Broker never mentions that you should get pre-approved and just ballparks what you can afford. 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??

Head Office
20 King Avenue E.
Newcastle, Ontario, L1B 1H6
Office: 905-987-1033
Fax: 905-987-3374

Branch Office
181 Church Street
Bowmanville, Ontario, L1C 1T8
Office: 905-697-1900
Fax: 905-697-1927

Branch Office
42 Walton Steet
Port Hope, Ontario, L1A 2Y8
Office: 905-885-7627
Fax: 905-885-7640

Branch Office
36 King St. West
Cobourg, Ontario, K9A 2L9
Office: 905-372-5428
Fax: 905-372-1701

 

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Trademark owned or controlled by The Canadian Real Estate Association. Used under license.

Trademarks owned or controlled by The Canadian Real Estate Association. Used under license.

The information provided herein must only be used by consumers that have a bona fide interest in the purchase, sale or lease of real estate and may not be used for any commercial purpose or any other purpose.

Information is deemed reliable but is not guaranteed accurate by TREB.


Royal Service Real Estate-Newcastle
20 King Avenue East
Newcastle ON  L1B1H6
(905) 987-1033
(888) 372-4140