Did you know that spring is one of the best times to buy a house?
- With the temperatures warming up and more daylight available, it’s easier to look at properties.
- More homes are listed for sale.
- People who are selling may want to close quickly, leading to a better deal for you.
One of the only cons of buying in the spring is that there may be more competition for the home that you want. The best way to stand out in a crowded pack of homebuyers is to get preapproved for a mortgage to let sellers know that you’re serious. Learn how to get preapproved for a mortgage and get moved in this spring.
What makes mortgages at Arsenal different?
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When to get preapproved for a mortgage
The best time to get preapproved for a mortgage is when you’re serious about buying a home. You can realistically start to think about getting preapproved months ahead of when you plan to buy.
Getting preapproved will help you understand the budget you have to work with so you can look for homes that fit within it. It will also help you address any financial issues that might arise, such as taxes you may owe or outstanding loan balances, so that you are clear to buy your home.
How to get preapproved for a mortgage
At Arsenal, you have three easy ways to get preapproved for a mortgage.
What do I need for a mortgage preapproval?
When you’re seeking a mortgage preapproval, it’s important to get prepared. A mortgage, and buying a home, is one of the biggest steps you can take in life, so it requires a lot of preparation and vetting.
- Bank statements to show that you can make the payments on your monthly mortgage payment.
- Employment verification, usually in the form of paycheck stubs from your employer, to show that you have steady income.
- Income tax returns to show that you have a steady income.
- Any investment accounts you’d like to provide that show additional income.
- Your Social Security card so a credit check can be ran.
When your credit score gets pulled, your lender will determine how much they’ll preapprove you for and what type of rate you’ll receive on your mortgage. The higher your credit score, the more a lender will be willing to let you borrow (when considering your household income, debt-to-income ratio, and other factors, too). A higher score also means you could possibly receive a better interest rate.
You’ll also need to demonstrate that you’ll be able to make a down payment before final approval. Learn more about down payments and see if you can qualify for assistance.
