In my work as a real estate agent, when I meet with new clients, I prepare them for three phases of home buying: the pre home search, the home search and, finally, being under contract. That initial pre-home-search conversation is important. It covers their goals, our relationship, expectations, and money. And by money, I mean what they have been pre-qualified for.

Clients are pre-qualified by lenders based on their income and debt. Sometimes, clients reach out to lenders first and then find me, and sometimes they come to me first but haven’t yet spoken to a lender. That’s totally fine, but as a real estate agent, I’m limited in what I can help with until they talk to a lender. The good news is I have a handful of lenders I really trust, who move fast, and who can help get my clients qualified.

What is Pre-Qualifying?

The point of pre-qualification is to find out how much banks will lend you for a home purchase and at what rate. (This is why I need my clients to be pre-qualified first; setting up searches, etc. is difficult without knowing how much money we have to work with.)

What Information is Needed? What Kind of Questions Will I Be Asked?

Lenders need to know how much income you are taking in as well as what your debt looks like (student loans, car payments, credit cards, you name it, they want to know it.) And, yes, a credit report will be pulled. This information is then run through…