Michael Frey REaltor® (858) 330-1242

Step 1. Contact Michael Frey, Realtor, at 619-997-1626

Step 2. Get Pre-Approved by a Mortgage Banker.

Note: The Order of Priority Sellers use to Pick the Best Offers: (From Best to lease attractive)

A. All Cash, No Contingencies.  

B. Pre-Approval Conventional. No Contingencies 

C. Biggest Lender Name, Biggest Broker Name Pre-Approval, All Normal Contingencies.

D. Contingency, sell my existing house first, then buy with contingencies and loan approvals.   

E. Online Mortgage Companies (Rocket Mortgage, Quicken, etc.) with Loan Contingencies.

F. Pre-Qualified Offers  (Pre-Qualified is a 5 minute check, not good enough) 

G. i-buyers, builders, flippers.

Step 3. Talk to Michael about a Strategy to write your Purchase Agreement Contract.  

Step 4. Look for Houses with Michael Frey, Using his strategy of View Houses. 

Step 5. Write an Offer. Place your earnest Money deposit in Escrow within two days. 

Step 6. Home Inspection, Appraisals. (Decide if you want the house)

Step 7. Sign Disclosures. (You will sign them as they arrive constantly) 

Step 8. Money in Escrow. (Bank funding)

Step 9. Take the Keys. Prepare to move in.   

Review of Steps: I will take care of everything, walk you through the processes, keeping you informed. 

Get in-depth home buying processes and everything you could possibly want on my Berkshire Hathaway HomeServices Website. Click the text.

Call Me: (858) 330-1242 Michael Frey

Introduction: Unveiling the Mortgage Mystery

Buying a house is like diving into a sea of paperwork and terminology. In that ocean, two terms often float to the surface: "pre-qualification" and "pre-approval." While they may seem interchangeable, they're not. Each plays a unique role in helping you secure your dream home, and understanding the difference is crucial. So, let's break it down.

Pre-Qualification Demystified: Your First Step in Homebuying

What is Pre-Qualification?

A pre-qualification is the initial step in the mortgage process. It's like dipping your toes in the water before taking the full plunge. Lenders will take a quick glance at your financial background—think income, debt, and credit score—to provide an estimate of how much you might be able to borrow.

Why Do You Need It?

Consider this your reconnaissance mission. A pre-qualification gives you a ballpark idea of your purchasing power, allowing you to look at homes within your price range. It’s a no-strings-attached way to gauge your mortgage options without any commitment.

The Caveat: It's Not a Guarantee

Don't pop the champagne just yet! A pre-qualification isn't a promise from the lender. It's a preliminary assessment based on limited information. It's not until you get pre-approved that you can have more confidence in your mortgage capabilities.

The Pre-Approval Power-Up: A Closer Look

What is Pre-Approval?

A pre-approval is a more definitive step. The lender will review your financial documents in depth—tax returns, bank statements, and more—to give you a more precise loan amount. You'll also learn about the interest rate you can expect.

The Importance of Pre-Approval

A pre-approval letter is your golden ticket in the world of homebuying. Sellers are more likely to take your offer seriously when you're pre-approved. It shows you've got the financial backing and seriousness to make a purchase, making you a more attractive buyer.

How Does It Differ from Pre-Qualification?

The main difference is the depth of the investigation. While pre-qualification is a cursory look at your financial standing, pre-approval is a comprehensive review. The pre-approval letter is also more time-consuming to get, requiring various documents and a more detailed application.

To Pre-Qualify or To Pre-Approve? That's the Question

The Short Answer

Ideally, both. Start with pre-qualification to get a general sense of your mortgage capabilities. Once you're serious about making offers, secure a pre-approval to strengthen your position.

The Strategic Approach

Pre-qualify early in your home search to identify any potential roadblocks. Use this time to improve your financial profile if needed. Then, when you're ready to play hardball, get pre-approved.

Conclusion: Why You Need Both in Your Homebuying Toolkit

Understanding the difference between pre-qualification and pre-approval is more than a matter of semantics—it's a strategy for homebuying success. A pre-qualification letter gives you a starting point, while a pre-approval letter solidifies your credibility as a buyer. In the competitive real estate market, arming yourself with both is the smart move.

So, whether you're a first-time buyer or a seasoned investor, navigating the road to your dream home becomes easier when you understand these mortgage milestones. Happy homebuying!

Call Me: (858) 330-1242 Michael Frey

Curious where all the SHORT-Term rentals are located? The “Nice Neighbor” organization is a group of San Diego stakeholders trying to identify the Bad Actors: Party Houses, Nose, unlicensed or neighborhood disruptors. You can also add to their list if you know of other bad actors In Shor Term Rentals.  (Take the information for what it is)