San Diego, CA (PRWEB) January 15, 2014
LoanLove.com is a borrower advice website that offers valuable insights, quality info and connections to the top industry professionals in a casual and even entertaining packaging. The website promises that it is “not another boring, stuffy, 'fall asleep in your chair' site about loans.” The articles provided explain any advanced loan terms so that even a brand new home buyer can easily understand and benefit from them, yet also do not skimp on important details, making them useful for experienced home buyers as well. A recent article that is featured on the website continues to help borrowers by providing a first time home buyer pre approval guide.
The article says, “One of the most common mistakes first-time home buyers can make when shopping for a house is to enter into the process without an understanding of how much home they can afford. Seeking pre-approval not only keeps you from wasting time looking at homes outside your price range, but can keep you from the disappointment of finding a home you truly want, only to find you can’t afford it. Instead, you can limit your search to homes and neighborhoods within your means. In addition, once you are ready to put in an offer on a home, sellers will take you more seriously and often give your offer priority over similar terms without pre approval.”
Loan Love also explains that once a home buyer gets pre approval, they will be able to shop around for loan options that are open for them. The article then gives three tips that can make first time home buyer pre approval go more smoothly. These tips are to:
- Gather all necessary paperwork
- Review credit reports and correct any errors
- And improve debt-to-income ratio
The article explains each tip in detail and gives some examples of ways borrowers can implement each piece of advice. For example, regarding debt-to-income ratio improvement, the article says, “While you may find it difficult to do much about your income level, you may be able to do something to decrease your debt. Your lender will be analyzing your overall debt, including minimum credit card payments, student loan payments, and car payments, to come up with your overall debt-to-income ratio. Decrease your overall debt by paying down credit cards and loans prior to the preapproval process.”
In conclusion, Loan Love says, “Preapproval does not guarantee you will receive a loan. Once your offer is accepted on a property, the home will need to be appraised and your lender will need to formally approve your loan if all qualifications are met. But first time home buyer pre approval does bring you much closer to final loan approval and offers significant advantages in the home-buying process.”
For more information and tips on getting pre approved for a home loan, please click here too read the full guide at LoanLove.com.