Mortgage Pre-Qualification vs. Pre-Approval – They Are Not the Same

The terms used in the initial steps of getting a loan can be confusing and misleading. Understanding the difference between a Pre-Qualification and a Pre-Approval helps determine how much house you can afford, and if you are qualified to get a loan. Here’s a breakdown of the difference between two very similar and equally important terms:
Pre-Qualification:mortgage finance
The Pre-Qualification is a less involved process than the Pre-Approval and can be done over the phone or online. Mortgage Pre-Qualification is an informal snapshot of a borrower’s creditworthiness.
It is based on verbal information provided by the borrower. As the borrower, you provide the loan officer with information about your overall financial picture including debt, income, and assets. It does not involve an analysis of your credit report or a close look at your ability to purchase a home. The pre-qualification letter allows you to explore your mortgage options with a lender and ask any initial questions.
Pre-Approval:
Only a Mortgage Underwriter Can Issue a Mortgage Pre-Approval Letter.
The Pre-Approval Letter comes from the mortgage company you are working with and is essentially a commitment that you have a loan approved for a certain amount of money subject to an appraisal of the property you want to buy. This letter is supported by required documentation that you voluntarily provide including;
– Credit checkpre-approval-2
– Income/employment verification
– Analysis of your financial obligations such as   credit card balances, car loans, etc.
– Copies of W-2s, pat stubs and bank statements
– Other pertinent documentation as  required
Once you are Pre-Approved, you can move forward with looking for a home confident in knowing you have a conditional commitment for the money you need to buy a your new home.

Loan Officers can not issue a valid Mortgage Pre-Approval Letter.
A valid Mortgage Approval has been underwritten by an authorized underwriter (an underwriter is the final person that says your loan is approved). If an underwriter Pre-Approves your application upfront, issues you a valid Mortgage Pre-Approval Letter, all you have to do is find the home you want, have it inspected and appraised, and you should be able to close in less than a month. This gives you leg up on an offer from somebody who has not been pre-approved.

If you are looking to buy a new home, a Mortgage Pre-Approval Letter is the smartest way to proceed. Call Me at 860.945.9284 to discuss the right mortgage option for your family and to take advantage of my FREE Jump Start Mortgage Pre-Approval service.

https://norcommortgage.com/blog
https://mortgagemarketdigest.wordpress.com/2013/03/12/whats-the-difference-between-mortgage-pre-qualification-and-mortgage-pre-approval/

 

 

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Licensed CT Mortgage Loan Officer

yippeeYippee!! It’s Official!
I aced my 8-hour Continuing Education Exam, I passed a criminal background check and my credit report checks out. The CT Department of Banking has renewed my Mortgage Loan Officer license for 2018.

So… Don’t Keep Me a Secret … If you know someone who could benefit from working with a Licensed CT Mortgage Loan Officer like myself, please send me their contact information. I will follow-up and take good care of them for you. I’m never too busy for your referrals.

425 High Street Ext. Thomaston CT For Sale – Eligible for 100% USDA Mortgage

Attention Millennial First Home Buyers!
This completely remodeled ranch is Eligible for up to 100% USDA Financing.

The USDA Guaranteed Rural Housing Development Loan offers many benefits to qualified Millennial Home Buyers.usda 3
• No Down Payment Required! Finance up to 100% of the home’s appraised value.
• Ability to Finance the Closing Costs into the loan when the appraised value is greater than the negotiated sales price.
• One 30 year fixed rate mortgage at today’s low interest rates.
• Reduced Mortgage Insurance. Beats FHA any day

425 High St Ext, Thomaston

https://www.zillow.com/homes/for_sale/57821559_zpid/41.731867,-
73.025007,41.637384,-73.134871_rect/12_zm/1_fr/Get Pre-Approved

Reach out to Rick Cignoli to find out if the USDA Guaranteed Rural Housing Development Loan is the right mortgage option for you and to take advantage of his FREE Jump Start Mortgage Pre-Approval service.

Then call Tim Clark at Stone Crest Realty LLC to schedule a showing and be ready to make an offer.

Thomaston CT Homes for Sale – Eligible for 100% USDA Financing

usda 3
Smart Home Buyers in Thomaston CT are very interested in the USDA Rural Development Guaranteed Housing Loan.

 

They find this mortgage particularly attractive because:
• No Down Payment is required
• Have the ability to finance 100% of the home’s appraised value
• Lower mortgage insurance than conventional or FHA loans
• More lenient credit score requirements than for conventional loans
• Unlike VA loans, there is no military service requirement
• The only zero-down loan on the market besides the VA mortgage

OVERVIEW
The USDA Rural Development Guaranteed Housing Loan program offers many benefits to qualified buyers
• Up to 100% Financing of the home’s Appraised Value – No Down Payment is required on eligible homes
• Ability to finance Closing Costs when the Appraised Value is higher than the contract sales price of eligible properties
• One 30 year fixed rate mortgage at today’s low-interest rates
• Buyers with <20% down payment can afford higher priced listings because Monthly MI is cheaper than premiums associated with conventional and FHA mortgages
• No Pre-Payment Penalty. No Re-Capture Tax like CHFA
• No limit on Seller Contributions. No limit on Gift Funds
• No Cash Contribution required from buyer
• Credit Scores down to 620.

CAVEATS
The USDA Rural Development Guaranteed Housing Loan program does have a few restrictions:
• The home must be in USDA “designated rural areas” like Thomaston, CT
• Adjusted household income cannot exceed established income limits
• Available to First Home Buyers and Repeat Buyers purchasing a single family home as their primary residence in a USDA eligible area
> Cannot own any other type of residential property at time of closing

My expertise with the USDA Rural Development Guaranteed Housing Loan expands my ability to provide clients with the right home financing solution. Get Pre-Approved
Call Me to discuss your mortgage options and to take advantage of my FREE  Jump Start Mortgage Pre-Approval service.
You just might be able to move into your new home in Terryville, CT with little or no out-of-pocket money and low affordable monthly payments.

43 Beach Avenue Terryville CT For Sale – Eligible for 100% USDA Mortgage

Fully remodeled home with brand new kitchen, 3 bedrooms and 2 baths
Priced right for Millennial First Home Buyers!

And … It’s Eligible for Up to 100% USDA Financing.

The USDA Guaranteed Rural Housing Development Loan offers many benefits to qualified Millennial Home Buyers.usda 3
• No Down Payment Required! Finance up to 100% of the home’s appraised value.
• Ability to Finance the Closing Costs into the loan when the appraised value is greater than the negotiated sales price.
• One 30 year fixed rate mortgage at today’s low interest rates.
• Reduced Mortgage Insurance. Beats FHA any day.

43 Beach Ave Terryville (2)
https://www.realtor.com/realestateandhomes-detail/43-Beach-Ave_Terryville_CT_06786_M30883-42301

Reach out to Rick Cignoli to find out if the USDA Guaranteed Rural Housing Development Loan is the right mortgage option for you and to take advantage of his FREE Jump Start Mortgage Pre-Approval service.

Then call Janet Laviero at Select Realty Associates, LLC 860.583.9977
to schedule a showing and be ready to make an offer.

$250 VISA Gift Card When Your Loan Closes with Norcom Mortgage by 12/31/2017.

Apply for a loan with Norcom Mortgage by October 31, 2017 and receive a FREE $250 VISA Gift Card when your mortgage closes by end of the year

Here’s the link to claim your reward: www.Norcom-usa.com/l/GiftCard
Be sure to enter Avon branch.

Then reach out to Rick Cignoli to discuss the right mortgage option for your family and begin the process of moving into your new home by New Year’s Eve.

VISA.jpg

24 Benedict St. Terryville, CT For Sale – Eligible for 100% USDA Mortgage

Fully remodeled home with brand new kitchen and 4 bedrooms
Ideal for Millennial First Home Buyers!
And … It’s Eligible for Up to 100% USDA Financing.

The  USDA Guaranteed Rural Housing Development Loan offers many benefits to qualified Millennial Home Buyers.usda 3
• No Down Payment Required! Up to 100% Financing of the home’s appraised value.
• Ability to Finance the Closing Costs into the loan when the appraised value is greater than the negotiated sales price.
• One 30 year fixed rate mortgage at today’s low interest rates.
• Reduced Mortgage Insurance. Beats FHA any day.

24 Benedict Terryville CT

https://www.realtor.com/realestateandhomes-detail/24-Benedict-St_Terryville_CT_06786_M30277-85144

Reach out to Rick Cignoli to find out if the USDA Guaranteed Rural Housing Development Loan is the right mortgage option for you.
Take advantage of his  FREE Jump Start Mortgage Pre-Approval service.
Then call John Petraroia at Property Partners Real Estate 203.217.8658 to schedule a showing and be ready to make an offer.