Page 5 - Realty News Update August

August Realty News 5

В чем заключается

разница между:

Getting pre-qualified

& pre-approved

You've probably heard those commercials
1 on TV where mortgage companies boast
about their ability to pre-qualify you in
minutes. While these claims might be true,

they don't mean much anymore.

There's a difference between a pre-qualifi-
cation and a pre-approval. In recent years,
the latter has become the gold standard to
use when making an offer.

2The reason for this change is because
a pre-qualification isn’t very reliable. To
be pre-qualified, all you need to do is supply
2 your own estimates of your income, debts,
and assets. However, there is no confirma-
tion that what you’re saying is true, so it
gives the seller very little reassurance of
your ability to actually purchase the home.

2With a pre-approval, on the other
hand, you’re required to submit financial
documentation along with your request. The
lender runs a credit check and looks at your
pay stubs, debt records, and bank state-

ments before making a final determination
on whether or not to grant you a loan. In this
case, there’s much more credibility.
3