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What’s the True Cost of Waiting Too Long to Get Pre-Approved in 2024?

If you’re thinking about buying a home in Seattle in 2024, we encourage you to get pre-approved sooner than later. 

In order to make a competitive offer on a home, you need to get pre-approved with a trusted lender who is going to provide you with exceptional customer service. And while the pre-approval process can sometimes happen very quickly, it also could take awhile depending on your situation. So why delay the inevitable? 

Seattle’s real estate market is already heating up, and the market is already proving to be a competitive one for buyers. You’ll want to be ready to pounce when the perfect home hits the market! 

TL;DR: Get pre-approved before you start looking at homes so you don’t miss out on the home of your dreams! 

Here are 3 things you should know about getting pre-approved: 

1. Meet with us before you start shopping for houses. We’ll be able to guide you through the pre-approval process. 

As your real estate agent, meeting with us first is the ideal place to start your home buying journey. We work with lenders who we trust to get the job done for our clients. (Sometimes we’re asked if we get a kickback, and no we do not! It’s also illegal.)

Not all lenders are the same, and you need to work with someone who is trusted and provides excellent customer service. We’ll also help you choose a lender that’s right for your unique scenario. 

2. Getting pre-approved can uncover important elements of your financial situation that may impact your ability to buy a house. 

It’s not uncommon for financial unknowns to pop up when you’re getting pre-approved. And sometimes, these unknowns might prevent you from getting the type of loan you need. 

For example, let’s say a couple has been house shopping for a few months, and one day they finally find The One. 

They jump into the pre-approval process (which they need to do to make an offer on the home). During the pre-approval process, they learn that one of them has a lower credit score than the other. Because of this, they end up not qualifying for the property they wanted to buy, and after months of searching. 

Now, had they gotten pre-approved sooner, their lender could have given them tips and actions they could take to improve their credit score (and sometimes it only takes a month to make the improvements you’ll need!). They could have been working on improving their credit for that entire time, and been ready to make an offer once they found that perfect property. 

Getting pre-approved can lead to other important discoveries as well. There could be something on your credit that’s fraudulent, for example, and you’ll need to take care of it. 

Our advice is to start the pre-approval process as soon as you start looking at homes.

3. Give yourself the time and space to make one of the biggest financial decisions of your life! 

This one is so, so important. You don’t want to end up with buyer’s remorse on a home you didn’t have time to really think about. We encourage our clients to have an abundance mindset vs. a scarcity mindset when it comes to finding the right home. There will always be another home that pops up and catches your eye! 

Oftentimes, once people start looking at homes (even if it’s casual and “just to see what’s out there”), the perfect home will pop up. And in a market where things are moving quickly (which already seems to be the case here in Seattle), you’ll need to make an offer in a timely manner. Many homes are listed on Thursday and Friday, and if it’s a home with highly desired features that’s going to appeal to a lot of buyers, you can expect things to move fast. Offer review dates will typically be just a couple days later on Monday or Tuesday. 

For most buyers who aren’t pre-approved yet, it will be too late to make a competitive offer on that home. While some homes are sitting on the market a little longer, most are already going quickly. 

Now, there are some rare cases where we might be able to fast-track your pre-approval process. But in most cases, this is incredibly stressful and not at all ideal. 

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We work with lenders who know how to get the job done, and in a timely and professional manner. Reach out if you’re ready to start the home buying process—we will help you make a smart and savvy plan! 

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