Every journey short or long begins with a first step, including the journey to new home ownership. Success in purchasing a new home begins with good planning and preparation; especially, for buyers who will be obtaining a mortgage to finance the purchase of their newly built home. Obtaining a purchase mortgage begins with loan pre-qualification, which lays the groundwork for a successful loan application and loan closing in the future. Pre-qualification starts with an easy and efficient conversation, in-person or via phone or video conference, with a licensed mortgage professional.
Pre-qualification enables both the buyer and the future mortgage provider to gather, review, examine and discuss baseline consumer credit information before submitting a fully documented application for mortgage underwriting. A buyer and a licensed mortgage professional will conduct a 15 to 20-minute conversation to review information such as income, employment, savings, future down payment sources, credit history and credit experience to establish a framework for the buyer’s mortgage potential. The mortgage professional will inquire about the buyer’s credit score and other current financial obligations and monthly payments, often obtaining an initial mortgage credit report for completeness and accuracy. The purpose and goal for this conversation is for the buyer and the mortgage professional to work together to establish the buyer’s eligibility for a mortgage loan and to identify any qualifying factors, in advance, so that the buyer may create a new home purchase budget and plan with a high likelihood for success.
Buyers seeking pre-qualification ought to talk openly and honestly with their mortgage professional during the conversation so that all items may be considered and all options and potentials may be explored, including loan program options and alternatives. The goal is for the buyer and the mortgage professional to complete the pre-qualification step ready to proceed with confidence in their new home purchase knowing that important baseline credit information was reviewed and is understood such that the buyer’s future loan application, when made and documented, will be underwritten favorably and approved ultimately. Also, buyers should feel enthusiastic and excited with a pre-qualification in-hand and their future costs of loan closing and home ownership known and accounted for as part of their new home purchase plan.
Buyers should utilize the pre-qualification process to interview their mortgage professional. The more questions the buyer asks the better in order that the buyer may be assured that their mortgage provider and professional has the required experience, knowledge, skill and ability to make their new home purchase a success. Purchasing a newly built home is unique and buyers ought to be certain that their mortgage provider and professional have experience and a proven record of success in serving new home purchasers.
Pre-qualification should not cost the buyer anything out-of-pocket and should be provided to the buyer by the mortgage professional at no cost, as a service to the buyer, in order to position the buyer to proceed with confidence.
Groundwork Mortgage and our team of licensed professionals are new home purchase finance experts. We are always available to empower new home buyers with no-cost mortgage pre-qualification in order that they may proceed with knowledge, a plan for mortgage success and confidence in their purchase of a newly built home.