If you are looking to purchase a home in Mississauga, one of the first things you should do is contact your agent at Akal Mortgages to get a mortgage pre-approval. Some people wonder why they should go ahead and get preapproved for a mortgage when they haven’t even picked out a home yet. But pre-approvals are important for a number of reasons.
What is a mortgage preapproval?
When you get a mortgage preapproval in Mississauga, you receive a statement from the lender letting you know how much you will be able to borrow and at what interest rate. This offer is usually good for six months, so it gives you plenty of time to find a home that you love and put in an offer. A pre-approval is different than a pre-qualification which is really only a best guess as to how much you can qualify for.
Why should you get a preapproval?
A mortgage preapproval will benefit you in a variety of ways – not the least of which is letting you know exactly how much of a mortgage you will be able to get. This can save you a lot of time and heartache by preventing you from wasting time looking at homes that are out of your price range.
It is also important to remember that if you wish to work with a real estate agent in Mississauga, many of them will only work with you if you have already been pre-approved for a mortgage. Since your real estate agent will only earn money when you purchase a home, a preapproval is often needed to show them that you are a serious buyer.
The final reason why a mortgage preapproval is important is that it can give you more negotiating power with sellers. In Mississauga, many homes on the market end up in bidding wars. If a seller has two similar offers but one of the potential buyers has a mortgage preapproval and the other doesn’t, nine times out of then they will go with the buyer that has been preapproved.
Contact Akal Mortgages today!
If you require a mortgage preapproval in Mississauga, contact Akal Mortgages today to speak with one of our agents.
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