Being pre-approved is like being pregnant-either you are or you aren't! I've had quite a few calls lately from potential buyers in Henderson, KY. As we talk, I always ask a few questions so I can determine where they are in their home search.
More and more in recent weeks I've had people call and when asked if they are pre-approved say "well, sort of". What does that mean? Basically, they have talked to a lender, but there are a few credit issues and are waiting for the lender to re-score them. In the meantime, they'd like to look at a few homes and possibly make an offer on one. Okay, so how are we going to do that? In our market, most seller's and all foreclosures are requiring a pre-approval letter. When I explain this to them, the immediate response is, "well, I'm kinda pre-approved!" Actually no, you aren't. At this point you are not approved and you do not qualify for a loan. PERIOD. THE END. Until the lender is able to pre-approve you and give you an estimate of your closing costs, how much they are willing to loan you, etc. you are not pre-approved!
There are lenders that are able to re-score someone who may be close to minimum guidelines, but until a potential buyer follows the steps given and their score improves to surpass minimum guideline, you are not pre-approved!
If you need a lender, I'd be happy to point you in the direction of several excellent lenders I have worked with in the past. If you need help in meeting the minimum standards for a loan, they are more than willing to give you guidance. And when you are ready, willing, and able to purchase a home, I'd be more than happy to help you.
