The 5 Ws of Mortgage Pre-Qualification Letters


Our first W is Who. Who needs a mortgage pre-qualification letter? The simple answer is that anyone who is in the market to purchase a home. If that is you, read on, we are about to provide all the information you need to get this valuable document working for you.


The second W is What. What is a mortgage pre-qualification? A mortgage pre-qualification is when a lender reviews your financial situation and determines how much they are willing to lend you for a mortgage. The lender provides you with a letter which states the mortgage you would qualify for, although in most cases, it is not actually an approval of a loan.


Our third W is When. When do you need to obtain a mortgage pre-qualification letter? It is a great idea to have your letter in hand as you start the process of finding a home. A pre-qualification letter is a great tool to help you find out how much house you can afford. It will save you time in the long run because you will not begin falling in love with homes that are beyond your price range.


Our fourth W is Where. Where do you go to get a mortgage pre-qualification? There are many places offering mortgage pre-qualifications. A simple Google search will list tons of sites offering quick links to lenders offering pre-qualification letters. You can also turn to a bank with which you already have a relationship. If you have already established a relationship with a bank, that is a great place to start. You can also turn to us! Wallkill Valley Federal Savings & Loan is a great place for your mortgage. We make the process of receiving a pre-qualification letter easy. Get in touch with our Senior Residential Loan Officer, Melissa Flickenschild (NMLS# 524987) and she will be happy to talk you through the process!


Our final W is Why. Why do you need one? We’ve already covered one really great reason, it can help you understand how much house you can afford, but there are a couple of other reasons:

• It makes real estate agents more eager to work with you. Someone who has a pre-qualification letter in hand is serious about their home search.

• It could give you the edge you need to be able to close on the home you desire. If a seller gets two offers at the same time, one with a pre-qualification letter and one without, they are more likely to choose the potential buyer with a letter from their future lender.

Wallkill Valley Federal Savings & Loan is dedicated to providing information to our customers so that they can take steps toward achieving their financial goals. Are you in the market for a home? Cyndi O’Brien (NMLS# 754577) and Rick Farrow (NMLS# 800674) are available to answer questions and help you get started. To reach Cyndi O’Brien, call 845-946-6635 or 845-895-2051 ext 431.  For Rick Farrow, call 845-527-2090 or 845-895-2051 ext 426.