How To Pre-qualify A Home Buyer

How To Pre-qualify A Home Buyer

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Most of us can remember the first time we bought a home and how it seemed to take forever, right? And now when you're thinking about selling your home it's a good time to remember that the process can be very time-consuming and actually frustrating. The goal is to close the sale, and that happens at the end of the long process that starts with finding a buyer. Thinking ahead to the closing process when you're just getting started looking for a buyer will save you some time in the long run.

So, the first thing to consider when you are looking for a buyer is to understand that you want a "qualified" buyer, meaning someone who will qualify for a mortgage loan or who has enough cash to purchase your home outright. You still have to get the title work done, but you don't have to wait a long time for the loan approval process if your buyer is approved ahead of time by a lender. Pre-qualification is not the same as pre-approved, so you'll want to make sure you understand the difference, and furthermore, a buyer's status can change if he or he goes out and buys a new car or makes another big purchase with credit cards between the time he or she was pre-approved for financing and the time you're headed down the road towards a sale. In other words, be cautious and take care when you hear that a buyer is pre-qualified or pre-approved. But feel free to get excited when you hear that a buyer pays cash!

It's not a simple matter of finding someone who wants to make an offer when you are selling your home. You want the right buyer to make a offer, and that is not always easy to determine upfront. If you are using a real estate agent you can insist that your agent inquire about the pre-qualification , pre-approval or cash position of the prospective buyer, but if you are selling by owner you will have to handle those inquiries yourself, which can be a little awkward.

Since I've bought and sold so many homes I am not shy about talking to buyers about how they will be paying for the home, but sometimes I require proof, meaning I ask to see bank statements or letters of pre-approval signed by their lender. That is not inappropriate at all. As I said, it's easy for me but might be a little awkward for you when you're selling your home. Just remember that the time you spend upfront to make sure you have a qualified buyer is going to save a lot of waiting and frustration during the closing process.


About the Author:
Check out Leo Kingston's internet site to read more about how precisely you can sell your property for cash with no loan company settlement costs or real estate professional fees. Leo offers property owners a technique for selling a house in 1 month or less. http://www.18002sellhomes.com



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