Is “Pre-Purchase conditional approval” important to obtain?
YES!!!
– the most vital step a potential borrower should take is to obtain a “Pre- Purchase Conditional
Approval” from a broker or a bank BEFORE you commence your shopping for a suitable property.
The rationale is that you should be fully prepared for the most important purchase of your life, a commitment of between 1⁄4 and 1⁄2 a million dollars for the typical home purchase. If you obtain a pre-approval you can then negotiate with a real estate agent or vendor from a position of strength. The lender will have checked your credit profile, your assets & liabilities, your ability to service your loan repayments, your deposit contribution etc and subject only to a valuation report of your intended property purchase, they are happy to lend you the money to purchase your dream home.
Why put yourself through the stress of making an offer and entering a contract to purchase a property without first checking that a lender is happy to support you in this strategy.
If you are in the market for a property purchase, DON”T LEAVE HOME WITHOUT A PRE-PURCHASE APPROVAL……FIRST! There is no cost or obligation for this “peace of mind” strategy. The approval normally lasts for an average of 60, 90 or 180 days and can be easily extended by supplying a recent payslip to extend the approval period. ______________________________________
Home Loan Guide 