An Important, But Often Overlooked Step in the Cape Cod Market!
When you are not paying for your new home in cash, which most buyers do not, mortgage pre-approval is an important step for so many reasons. It is imperative to know your options from a financing standpoint. Even if you are putting a large deposit down, it may require a jumbo loan. There are many options, so it is important to speak to a mortgage expert.
Also, the amount for which you get approved is not the only thing that is important, but how financially comfortable you are with the mortgage payment, including taxes, and insurance. Talking to a reputable mortgage lender is important, so you can understand from a financial aspect what the payments will look like with different priced home ranges, and then you can make an intelligent decision on how much you want to spend on a house.
It is best to set your offer up for success by submitting a mortgage pre-approval with your offer to purchase a home. Most sellers and their listing agent will one want to see this pre-approval.
If you are reading this, and planning to purchase in the Cape Cod market, (versus another market in another state), we highly recommend you consult with your buyer’s agent about who you chose to work with for your mortgage. Regardless of who you bank with now, or how much money you have in that bank, it is best to be open-minded when it comes to choosing a lender. We have seen time and time again, our buyer clients win the bid for their home in multiple offer situations where the other offers have comparable mortgages, primarily because they choose to have the right local lender represent them, versus a national lender from out-of-state. However, this does not apply to competing offers where the terms are more favorable, such as a competing cash offer.