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Seven Reasons to Get a Loan

Before You Shop For A Home!

If you are like most people who are thinking about buying a new home, your first instinct is to jump in your car, drive to the nearest parade of homes and tour until you find the home of your dreams.

Getting a loan before you shop for a home, is probably the last thing that comes to mind. The idea of spending time with a loan officer is right up there with a visit with your attorney, dentist or an IRS agent.

Unless you have a large bank account from which you can write a check to pay cash, applying and qualifying for a home is an inevitable step between you and your dream home. Here are seven reasons why you should seriously consider getting a loan in place before you shop for a home.

1. Assurance that you will qualify for a loan. Some would be borrowers think they will have no problem qualifying for a loan only to be disappointed when they find out they don't. Other could be borrowers are afraid they won't qualify so they don't apply. Big mistake. The world of non-conforming mortgage lenders offers loan programs for all types of borrowers.

Assurance includes avoiding disappointment resulting from touring homes that are out of your price range. You will find the home shopping process more satisfying if you tour only homes for which you are qualified to buy. An added bonus: the sellers and real estate agents will appreciate your not wasting their time.

Assurance you will meet your moving dead line. There are few pressures in life more intense then knowing you must move by a certain date and still working on proving you are qualified for a loan. The two most common hang ups are resolving credit issues and proving you have the assets for your down payment, closing costs and reserves that may be required.

2. The second reason: Having a Pre-Contract Loan Commitment in your hand is like being a cash buyer. Every seller and real estate agent wants to work with cash buyers. Having a Pre-Contract Loan Commitment makes the home buying process much more efficient and productive. It give you leverage when presenting an offer and negotiating a counter offer. It will expedite the closing process when you do find your new home. Do not mistake a Pre-Contract Loan Commitment with a pre-approval or pre-qualification. There is a world of difference.

3. Convenience is the third reason to apply online. You can apply for a mortgage online 24 hours a day 7 days a week. You can apply from your home, office, local library or any location that offers access to the Internet. No need to take time off work or away from play. Avoid the embarrassment of baring your soul to a loan officer asking a never- ending series of personal questions.

4. Fourth is Speed. Apply today be approved tomorrow. Why wait days or weeks to know if you qualify for a loan? Automated underwriting eliminates the human variable of subjective analysis. Computers don't have bad hair days or fight with their coworkers.

5. The fifth reason is information. A good mortgage Internet site will offer a wealth of information pertaining to the mortgage application process. You can research loan products, qualification guidelines, do "what if" scenarios on sophisticated mortgage calculators, learn the definitions of terms in the glossary before you apply.

6. Reason six is loan price. Rate One Mortgage will find you the best rate and terms for which you qualify. We are consistently 1 or 2 points under the market.

7. The seventh reason is confidence. Having a pre-approval in your hands from Rate One Mortgage will give you more confidence throughout the home buying process.

And being confident feels great!