While we are shivering through the winter months, the reality is that Spring is just around the corner. And in property, Spring means selling season; it’s not just the weather that starts to warm up; the Warrnambool property market does, too.
If you are considering making that next property purchase within the local market, it is recommended to get a home loan pre-approval first. Pre approval will not only save you time on your property search; it will also protect you from overspending at an auction.
How long does pre-approval take?
It can vary, depending on the lender. But as Mortgage Brokers, we usually have a good idea of what’s a reasonable turnaround time. A good way to keep it moving is to make sure you provide us with the right documents from our very first catch up. Below, we explain what these documents are, so you can have them at-the-ready.
The three easy steps to get your home loan pre-approved
1. Collect your documents.
Documents, documents, documents. It’s important that you have these ready to go; the quicker you can provide them, the more efficient the application process will be. You will need to provide us with:
- Proof of your identity (passport, licence, etc.)
- Proof of your income and savings (there are various ways to do this – your Payment Summary and bank statements, for example)
- Proof of living expenses and other expenditure (a table that indicates what these are is a good place to start)
- Evidence of current assets and liabilities (speak to us if you’re not sure how to produce evidence of these
2. Talk with your mortgage broker to find out
- How much can you borrow
- How much you require for a deposit
- How much you can repay each month
- If you qualify for a government grant or concession
Don’t worry if you’re not sure what the answers are to these questions – that’s our job! And we can tailor it based on your goals, and current situation.
3. Submit a pre-approval application to a lender
The crucial part. Again, it’s our job to know how to do this, so it’s quite easy for you once we get to step three:
- Form-filling and submission is done by us
- Once approved, the lender provides confirmation in writing, which we make sure we pass on to you
- You have pre-approval for the next three to six months
It’s a very straight foward process that is made easier if you are prepared (‘being prepared’ is pretty-much the point of pre-approval.)
So if you’d like to get prepared to have a head start on your hunt for a new home or investment property, get in touch with us today.
