The Home Buying Process
Step 3 – Qualifying for a Loan
Before you can step into the first property, I will need verification that you can qualify to purchase the home. This is my agreement with all listing agents, to show only properties the buyer can qualify to purchase.
The first step to doing this is for you to complete a loan application with a lender licensed in the state of Colorado. I personally feel it is also important that the lender is local. All it takes to learn this lesson is one transaction to go south at the closing table because the lender was not local and could not be reached to correct an issue.
It is also important that you use someone that was referred to you, either from a friend or family member that had a good “recent” experience. I say recent because the lending laws have changed drastically since I have been in the business. If you don’t have someone that can refer a lender to you, I can help you out with this – again, just ask.
When you complete an application with a lender, your information is confidential and unless you sign a release form, the lender cannot share your credit information or qualifying conditions other than to give me the upper price limit and maybe conditions for the loan to be included in any offer, such as the dollar amount you need the seller to pay to qualify for a specific loan program.
Once we have thumbs up from a lender and a signed buyer agency agreement we can start scheduling showings.
Visit the next step in The Home Buying Process: