Pre-qualified versus Pre-approved what is the difference and why does it matter.
Many banks will give you a pre-qualified letter-- but that is not enough if you are buying a home in Arizona. It is important to understand why you must do your part before looking to buy a home- this will save you many headache and will give you the best chance to buy your dream home when you do find it. If you are planning on buying a home in the next year, there are a few things you should do before you start looking: decide on the neighborhood that will provide you with good schools and a reasonable commute to work; get your credit reports and confirm all the information is accurate; and learn the difference between pre-qualified and pre-approved mortgage loans. What Does Pre-qualified Mean? The first thing you need to know is that being pre-qualified for a mortgage does not guarantee you will get one. When a lender sits down to talk to a prospective buyer, they will ask questions about the buyer's credit, assets, and income. It's important to note that no ...