A pre-approved mortgage can make the home–buying process easier and less stressful. Pre–approval gives buyers an idea of how much they can afford and helps them determine the budget for their home search. It also gives them an edge in competitive housing markets, as sellers may be more likely to accept their offer if they know the buyer is ready to purchase. Pre-approval shows the seller that the buyer is serious about the purchase and is more likely to be able to close on the home.

The main difference between pre–approval and pre–qualification is that pre–approval involves a more in–depth look at a buyer’s finances. Pre–qualification involves a basic review of a buyer’s credit score and income, while pre–approval requires a more thorough review of a buyer’s financial situation. This includes a review of credit scores, income, assets, and debts. A pre-qualification doesn’t have a “letter of commitment” from the lender but a pre-approval will. It’s a promise that the lender will advance funds to a certain amount.

Knowing your maximum purchase price allows you to narrow the search. It also gives you the confidence to make an offer that is within budget. If the offer is approved, the next steps are due diligence and then closing.

We have developed strong business relationships with the most competent and enthusiastic mortgage brokers and lenders in the Columbia Valley. We’ll be able to refer you to one of these professionals. A mortgage specialist will be able to answer your questions and assist with special needs or requests.

Find a registered mortgage broker in the Columbia Valley, BC

Finalizing Your Mortgage