Thread: Bank approval question

Originally Posted by wizard

Every time I make a call in response to a listing, I'm asked by the listing agent "Have you been approved [for mortgage]"? Now I have my salary direct deposit into a bank, but always immediately transfer it to a mututal fund brokerage account (still sitting as cash). So my bank account, which takes the direct deposit every 2 weeks, has little balance. What should I do to get bank's approval? I guess I'd need to transfer the money from the brokerage back to the bank account? But does it matter that such a "recent" deposit of lump sum has not stayed in the bank account long enough?

Bank account balances have very little to do with qualifying for a mortage loan (unless they are consistently negative).

Contact a mortgage professional (your real estate salesperson should be able to recommend several) choose one you like working with, and get the process started.

It shouldn't make any difference if your money is in a bank account or brokerage account. There is a paper trail for them to follow and they'll be able to see that. Call a mortgage broker or bank and get a pre-approval letter. It's easy, they will ask you questions about your income and check your credit score and then issue you a letter for the amount you are pre-approved for.

Here in Florida, a pre-approval letter is required to be sent in with almost every offer.

Loree@welovetampa.com

The agent on the sign is legally, morally, and ethically bound to represent the best interest of the seller.

If you deal with the listing agent, you can pretty much bet that you won't get your best deal.

Find ONE Realtor that you trust. Ask your homeowner friends for a referral, if they found their agent helpful. Then work only with that agent (presuming you like his/her level of service). This is the best way to assure that you'll have someone showing you houses, representing you... and negotiating in your best interest.

Are you a skilled negotiator, you don't need anyone to represent you? (I hear that all the time). Fine, use those skills at your job. If you don't trade in houses every day, you don't know the points on which to negotiate (other than sale price); nor the weasel clauses in the contract to preserve your right to withdraw from the contract, should you need to. You don't know how to follow up with lenders, appraisers, title agents after the sale.

Get an agent you trust... and work only with him/her as your buyer's agent.

Good luck!