Although having a pre-approved loan isn’t mandatory, it is a good idea to have one before you start searching for a property. There are numerous advantages of having a pre-approved loan:
- Price guide: You’ll know exactly how much you can borrow. You don’t want to waste your time looking at properties outside your price range.
- Save time and stress: When you find the right property, you won’t have the stress of applying for loans and waiting for the approval. If you can’t get financing in time, or your application gets rejected, or you don’t get approval for the full amount, you could miss out on the purchase.
- Peace of mind: You’ll have peace of mind knowing all your finances are sorted and that you already have approval for the loan.
When applying for a loan or pre-approved loan, you will need to know and discuss with your loan officer:
- How much surplus money you will have after you deduct all your expenses each week. You will need to consider the additional expenses of owning a house.
- The types of home loans and their facilities/features.
What types of home loans are there?
What are some important features that come with a home loan?
