Getting the “right” home.

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Finding the right home is still the biggestchallenge buyers are faced with in today’s market as is shown in the latestConfidence Index Survey.  Assuming the buyers find the “right”home with determination, perseverance and the help of a real estateprofessional, 88% of all transactions last year required financing to get thebuyer’s address on the home.  93% of first-time buyers needed financing.

Pre-approval is an essential step that needsto be handled before buyers begin searching for a home.  The benefits tothe buyer fall into the category of confidence.

PRE-APPROVAL GIVES YOU CONFIDENCE

  • Knowing the amount you can borrow 
    the mortgage amount decreases as interest rates rise
  • Looking at the right priced homes
    price, size, amenities, location
  • Comparing and identifying the best loan
    rate, term, type
  • Uncover issues early that could affect the most favorable loan terms
    time to cure possible problems
  • Bargaining power to negotiate with the seller and possibly, competing buyers
    price, terms, & timing
  • Settlement can occur sooner after contact is accepted
    verifications have already been made

ItemsNeeded for Pre-Approval

  • Photo ID
  • Two months current pay stubs
  • Last two year’s W2s
  • Complete copies of checking and savings statements for last three months
  • Copies of statements for IRAs, 401k, savings, CDs, money market funds, etc.
  • Employment history for last two years with addresses and contacts
  • Proof of commissioned or bonus income
  • Residency history for last two years with addresses and contacts
  • Assets for down payment, closing costs, and reserves; must provide paper trail
  • If self-employed, last two years tax returns, current profit and loss statement and balance sheet; copy of partnership/corporate tax returns for last two years if owning more than 25% of company
  • FHA requires driver’s license and social security card
  • VA requires original certificate of eligibility and DD214
  • Other things may be required such as previous bankruptcy, divorce decree

Contact us at (405) 329-6976 or donna@donnadavenport.com ifyou’d like a recommendation of a trusted mortgage professional.