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Pre-Approval
The Pre-Approval is a Loan Approval without identifying a property. We meet with the client, complete a loan application, collect the required documentation, run a credit report and have an underwriter approve the loan, conditioned on a satisfactory property and purchase contract. The benefits of having your loan pre-approved are the following:
- You remove any stress related to your credit and income being approved for a mortgage.
- Your realtor is not stressed about your ability to get approved.
- The seller receiving your offer knows he has a "real buyer" and that he must respond appropriately.
- If there are multiple offers, the seller usually takes the pre-approved buyer.
- The pre-approved buyer can close shortly after the appraisal, escrow instruction, and title report are available. This can easily be done in two weeks.
- The quick close can be a great negotiating tool for the buyer in situations where a seller must sell quickly.
Old Mission Mortgage, Inc is "online" with FNMA and FHLMC. We can provide pre-approvals for qualified buyers online as soon as we have adequate information from the borrowers and have a chance to process the loan. With proper documentation provided by the borrower, we can usually complete the process in a few hours. Online approvals are available for Conventional, Jumbo, FHA and VA mortgages.
Documentation normally required for Pre-Approval
- W-2's for most recent two years (last 2 federal tax returns if self employed)
- Most recent month's pay stubs
- Most recent two month's bank statements, all pages.
- Most recent retirement account statements, all pages
- Most recent statements on other accounts (stocks, mutual funds...)
- List of debts
- The list of other items necessary is dependent on your specific situation. Usually, that documentation will be identified during the pre-qualification process.