Just because your mortgage pre-approval says you can buy a $400,000 home doesn’t mean it would be in your best interest to do so.
We’ve seen this situation unfold time and again. A client comes in with a certain price range in mind and once they realize they are pre-approved for more, they start searching for more expensive homes.
To an inexperienced lender, this may seem perfectly fine. If a client is pre-approved for a certain amount, they can easily afford that amount.
We’ve been in this business long enough to know that while the overall price of a home matters, the monthly payment is a more accurate gauge of how much house you can afford to buy.
This may surprise you but most of our clients are approved for much more expensive homes than they end up purchasing. They simply choose not to buy at the top of their budget because they’d prefer to not be financially stressed.
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Mortgage Pre-Approval At Mortgage Specialists
Here at Mortgage Specialists, one of the first things we’ll ask you is what you would like your monthly mortgage payment to be. Doing so often puts home prices into perspective, especially if all you’ve known is monthly rent payments.
After discovering your ideal monthly payment, we will provide you with a few different loan options in that range. From there, we can help you decide which loan is right for you. Our clients will often opt to put more money down at closing to reduce their monthly payments or vice versa.
While mortgages aren’t generally thought of as a very personal decision, we believe they are. You shouldn’t choose a loan just because it’s what was presented to you. You should get a mortgage loan that fits into the vision you have for your financial future.
Ready to get pre-approved for a loan? Our online application takes anywhere from 5-20 minutes to complete. Once submitted, we can have you pre-approved for a loan in just a few hours.