Pre-qualification

What is It? A brief conversation between your mortgage consultant and anyone considering purchasing property in the future.
   
Purpose:
  • To determine mortgage financing boundaries early in the real estate buying process.
  • To provide guidance, rate and program information to establish a comfort level as to monthly obligations, and to educate clients on the nature of the process, including costs, options and other factors particular to their circumstances.
   
Time Frame: Immediate. However, special situations may require follow-up.
   
What is Required? A private conversation with the buyer to verbally review their financial profile. This discussion will include current and historical income information, funds available at purchase, credit history, current property obligations and the availability of documented verification of the above.
   
Cost? None
   
Who
Benefits?		 Everyone! Prospective sellers, Relocation buyers, First time buyers...
   
   

Pre-approval

What is It? A mortgage commitment without a property! Contingent upon an executed Purchase and Sales Agreement, Appraisal and title work.
   
Purpose:
  • To increase the negotiating leverage of the buyer (offers can be made carrying the impact of a "cash buyer").
  • To expedite the closing - most valuable to sellers awaiting an offer on their own property before purchasing.
  • To reduce uncertainty of any buyers qualifications, reducing the stress and tension of the most crucial element of the property buying process.
   
Time Frame: One to three weeks, depending upon the borrower's profile and available documentation.
   
What is Required? A fully documented application package including copies of supporting documentation (e.g., past two years W-2's, recent 3 month history of assets, a current pay stub, etc.) Application provided by Newbridge Mortgage.
   
Cost? There could be a cost to cover credit reporting costs, later applied toward closing costs. Rate locks require one pre-paid point, also applied towards closing costs.
   
Who
Benefits?		 Everyone! But most importantly... the prospective buyers.