Posted on: 14th Sep, 2009 07:47 am
My wife and I are contemplating selling the first home we bought together to buy a new, larger home. My question is, do we need to go through the prequal process for a new larger loan amount - going from our current mortage of $300,000 up to a loan for $450,000?
yes, lawrence, you will be wise to be preapproved by a lender before you begin your shopping. realtors are generally going to require that before they let you sit in the passenger seat - after all, they put some serious miles on their vehicles and they want those miles to be productive.
preapproval consists of verifying income and assets along with your credit, so be prepared to provide documentation sufficient to verify that information.
preapproval consists of verifying income and assets along with your credit, so be prepared to provide documentation sufficient to verify that information.
As George stated a Pre-Approval is always required with realtors now. Not only will this make the realtor content, but it will be beneficial for you guys as well. Before jumping right into looking for a larger home, sit down and figure out what it will cost you up-front as well as on a monthly basis. It's a win-win situation all the way around. I hope this helps...
You should also look at situation if you cannot sell the current home then are you goign to rent this?
At any point you may be safer to sell this house first before finailizing on the new home
At any point you may be safer to sell this house first before finailizing on the new home
