One of the greatest joys of our American culture is owning a home. Whether it’s a first-time home, a move-up for more space, or to downsize, the first thing you will want to do before you start house hunting is to meet with your lender and get prequalified.

Here are four reasons why it’s important to get prequalified before you start house hunting:

  1. Get to know your lender. Buying your first home is an exciting time, however it can be a stressful time, too. Your lender will walk you through the process. They will learn about your financial situation and identify any potential problems you might encounter with credit ahead of time. Your lender will get to know you personally and help make this time more enjoyable because you will be prepared.
  2. Know how much you can afford. During the prequalification process, your lender with help you determine how much home you can afford based on how much you can borrow and how much of a down payment you have saved. Your lender will address your income, debts, savings and credit. Once you have your prequalification, you will know how much home you can buy. This will help you focus your search on the homes you know you can afford.
  3. Let your Realtor know you are ready. Most Realtors will only begin house hunting with you when they know you are preapproved. Realtors want to know all about you, too. They want to know your likes and dislikes in a home, what neighborhoods you enjoy, and what kind of a commute you need for work. They will then take all your considerations along with your price range to gather a list of homes to explore. Realtors want to show you homes they know you can actually afford. And if you like a home – you can make an offer on the home they show you.
  4. Assure sellers you’re a serious buyer. In today’s competitive market, unless you’re paying cash, most sellers will only consider offers when they know the buyer is prequalified and can actually afford to buy their home. You will definitely need to have your prequalification to make an offer.

Thinking of a new home? Make sure you get your mortgage prequalification at Kalamazoo County State Bank before you start house hunting. It will make your entire process so much more enjoyable. Call us at 269.679.5291 or visit us online at https://kcsbank.com/mortgages/.

Kalamazoo County State Bank is an Equal Housing Lender.