A prequalification simply means that, from the figures provided about monthly income, assets, current debt, credit history, etc, a buyer should be able to qualify for a home loan on a specific dollar amount.

A preapproval (actual loan commitment) means all of this plus the lender has confirmed a buyer's credit history and verified income, assets, liabilities and source of down payment funds. We recommend a buyer get a preapproval letter from a lender prior to making an offer on a home, allowing for a strong offer with no hidden surprises. Preapproved buyers are preferred over those that are merely prequalified.

Today's homebuyer has more financing options than have ever been available before. From traditional mortgages to adjustable-rate and hybrid loans, there are financing packages designed to meet the needs of virtually anyone. The best way to sort through the options available is to talk with a lender. You can use your banking contacts for assistance, or ask us for recommendations. We routinely work with reputable lenders who do not have excessive fees due at closing.