Most lenders offer a generic pre-approval program which they pre-approve you for a maximum purchase price and give you a pre-approval letter based on this price. The main problem with this type of pre-approval is it doesn't take into account differences in property taxes, home insurance, and association dues if applicable as well as fluctuations in mortgage interest rates. The BridgeQual Pre-Approval Program issues a pre-approval letter based on a specific property you are interested in. Also, the Realtor or home buyer can access the BridgeQual online portal and print out a pre-approval letter at any time of the day as long as the property qualifies based on price, interest rate, taxes, home insurance, and association dues if applicable. You can put in an offer on a home and feel confident that you qualify for that home and you will get approved for the loan.
Let's take a look at how BridgeQual works. First, you fill out the full online application and provide us with current pay stubs, federal tax returns, W2 forms, 2 months bank statements, and any other documentation required to obtain a pre-approval. Next, your loan is submitted to the automated underwiting system and usually within 30 seconds you know if your loan is approved or not. Once your loan is approved you are issued a generic pre-approval letter without a property address to start house hunting but once you find a home you sign in to BridgeQual portal and input taxes, home insurance, and associaton dues if applicable and BridgeQual will let you know the maximum purchase price and loan amount. If the maximum price in Bridgequal is less than the listing price of the home you want then you may not be able to place an offer on the home because the total amount of actual property taxes, home insurance, and association dues is higher than the initial estimate used to calculate the generic maximum purchase price. The only way you may be able to still buy this home is to pay a fee to lower the interest rate on the loan or convince the seller to come down on the price. This program saves you from a huge headache of putting in an offer on a home and getting turned down on the loan.
Here is a real life example what happens when you don't get a "real" pre-approval. Josh and Rachel were excited about buying their first home so they went to their bank and they pre-approved them for a $150,000 zero down loan. They started looking for the home of dreams and they found one for $140,000 which was below the bank pre-approval amount for $150,000. They wrote up a contract and their offer was accepted by the seller. Next, they had a home inspection done for $250 and they paid $450 to the bank for an appraisal of the home's value. Two weeks later the loan was denied and Josh and Rachel were left with shattered dreams. The reason their loan wasn't approved was the fact that the property taxes were higher than the estimated taxes used for the pre-approval and there were unexpected association dues because it was a townhome. If they would have gotten pre-approved through the BridgeQual Program they would have found out that they didn't qualify for this home before putting in an offer. Josh and Rachel were devastated and they came to us a year later to get pre-approved through the BridgeQual Program, found a great home, and today they are very grateful and happy homeowners.
Today, the pre-approval loan process is more complicated than ever so you need to start somewhere. If you think you are ready to obtain a "TRUE" pre-approval with the BrideQual Program then complete Full Pre-Approval Application. Otherwise, if you are unsure whether you qualify for the first time home buyer program or you are not ready to start the full pre-approval application process then check and fill out Quick Application. Once you complete either Quick or full application then we will contact you to discuss your qualifications and possible loan options as well as answer any questions you may have about the home buying process. Don't wait another second to pursue the dream of owning a home and start your journey on the road to homeownership today.