Updated September 7th, 2023

If you're considering buying a home in Northern Virginia, the first step you should take is getting a mortgage pre-approval. Why? A pre-approval assesses your financial situation and reveals the loan amount you qualify for, ensuring that you are only considering homes within your price range. This avoids the disappointment of falling in love with a property only to discover it's out of your budget. 

In most areas of Northern VA, the number of buyers searching for homes to purchase greatly outnumbers homes for sale. In competitive markets like ours, having a pre-approval letter gives you a significant advantage and signals to sellers that you are a serious, prepared, and eligible buyer. So before you dive deep into house hunting, secure that pre-approval – it's the key to a smoother home buying journey!

Freddie Mac lays out the advantages of pre-approval in the My Home section of their website:

“It’s highly recommended that you work with your lender to get pre-approved before you begin house hunting. Pre-approval will tell you how much home you can afford and can help you move faster, and with greater confidence, in competitive markets.”

One of the many advantages of working with me is that I have relationships with lenders who will be able to help you with this process. Once you have selected a lender, you will need to fill out their loan application and provide them with important information regarding “your credit, debt, work history, down payment and residential history.

The 4 Cs will help determine the amount you will be qualified to borrow:

  1. Capacity: Your current and future ability to make your payments

  2. Capital or cash reserves:The money, savings and investments you have that can be sold quickly for cash

  3. Collateral: The home, or type of home, that you would like to purchase

  4. Credit: Your history of paying bills and other debts on timeGetting pre-approved is one of many steps that will show home sellers that you are serious about buying. In Northern Va. home sellers will not even consider an offer unless accompanied by this lender letter

Bottom Line

Many potential home buyers overestimate the down payment and credit scores needed to qualify for a mortgage today. If you are ready and willing to buy, you may be pleasantly surprised at your ability to do so as well. The first step to buying a home is a pre approval!