Home About Writers Categories Recent Issues Subscribe Contact File Transfer





Janie Carr
Janie Carr is a Plains Capital McAfee Mortgage home mortgage consultant, with offices at the corner of 13th and Ridge Road (7200 W. 13th, Suite 4). She has 21 years experience in the mortgage industry and is ranked among the top mortgage consultants in the Wichita area. Janie is an active member of the Wichita Area Association of Realtors and the Wichita Builders' Association. Janie is a member of the United Methodist Church. She and her family reside in Clearwater, where her children attend school. You may contact Janie at (316) 773-9500, or by e-mail at jcarr@mcafeemtg.com
Banking & Finance
2004-02-01 16:25:00
Advantages of pre-approval?
Janie Carr Question: What is a pre-approval… how do I get one…and can I use gift funds as a down payment?Answer: A Pre-approved Mortgage pro-vides an interest rate guarantee from a lender for a specified period of time (usually 60 to 90 days) and for a set amount of money. The pre-approval is calculated based on information provided by you and is generally subject to certain conditions being met before the mortgage is finalized. Conditions would usually be things like 'written employment and income verification' and proof of available down payment funds from your own resources, as an example. A pre-approval letter is a great tool to help your realtor with the process of the presentation of your offer. If the Seller of the home is making a choice between two offers equal in value otherwise, and one has a pre-approval letter with it, and the other one doesn't, it makes the choice a little clearer for the Seller.The easiest way to get a Mortgage Pre-approval is by calling your mortgage consultant. You will be asked some questions to determine your financial situation and then your mortgage consultant will calculate the size of mortgage you qualify for, using this information. With your authorization, they will then proceed with arranging a pre-approval letter for you if you are planning to buy property in the near future. Most successful Real Estate Professionals will want to ensure you have a pre-approval letter from a lender in place before they take you out looking for a home. This is to ensure that they are showing you property within your affordable price range. In answer to the second part of your question, yes, most lenders will accept down payment funds that are a gift from family as an acceptable down payment. A gift letter signed by the donor is usually required to confirm that the funds are a true gift and not a loan. Where the mortgage requires private mortgage insurance, most mortgage brokers and other lenders will require the gift money to be in the purchaser's possession before the application is sent in to their underwriters for approval. In summary, a pre-approval appointment with a good mortgage broker is one of the first steps a home buyer should take before beginning the buying process. It's better to know in advance if there will be any other requirements or stumbling blocks so that these can be worked out and not be allowed to interfere with your dream of owning your own home.
 
The Q & A Times Journal accepts no responsibility for unsolicited manuscripts or photographs.Materials will not be returned unless accompanied by a stamped, self-addressed envelope. Thank you.
 
Wildcard SSL Certificates