Скачать или смотреть Buyer Tip #7 - Pre Qualification Versus Underwriting

Problem: A Pre-approval letter is typically a quick and shallow look at your financial ability to perform BECAUSE it does not represent the outcome of a full Under-writing process.

Reality: A Pre-Qualification or Pre-Approval Letter Does Not Indicate That A Full Mortgage Commitment Has Occurred! So you Are Not Truly In A Pre-qualification Process Without a lender explaining ALL of the steps.

During the full Under-Writing process, the potential buyer is vetted by a thorough review of supporting financial documents.

To summarize the key point:
A buyer should never assume they are in the process of fully securing a mortgage commitment process until a lender explains the steps in the entirety.

A Pre-approval letter simply means that the buyer’s personal financial capabilities are being vetted and seem to be in order at a certain purchase price level.

However, a full mortgage loan commitment is not secure until all bank conditions have been met and the viability of the property as a bankable asset has been confirmed during a thorough Under-Writing process.