Why Knoxville Realtors Ask If You’re Pre-Approved
One of the first questions many Knoxville realtors will ask new buyers is, “Are you pre-approved?”
For some buyers, this can seem like a crazy question to be asked. After all, you’re a buyer wanting to look at home, can’t the financing wait?
Knoxville realtors ask this question for very good reasons. In this post, we’ll cover why Knoxville realtors ask if you’re pre-approved.
Shows Your Legitimacy As A Buyer
Before spending countless hours in the car showing you houses, it’s important to know that you’re able to be approved for a loan. Without a pre-approval, you’ll be wasting your own time, a realtor’s time, and a seller’s time.
Serious buyers will have no trouble being asked to get pre-approved. It takes very little time to get pre-approved. A lender will ask for some basic documentation about your income, taxes, and debts. They will also pull your credit. The whole process is very quick and painless and makes you a more serious buyer.
A Knoxville realtor will also ask if you’re pre-approved to save time.
Before you start your Knoxville home search, you need to know your price range. Without this information, you could be wasting your time looking at homes you cannot afford. Or, you could find out that you can afford more than you expect.
A pre-approval will provide you with this information. This information is invaluable to buyers. It’ll help you start your home search with a clear picture of your price range.
Saves From Emotional Disappointment
A Knoxville realtor will also ask if you’re pre-approved to save you from emotional disappointment.
This happens time and time again: a buyer falls in love with a home only to find out that the home is out of his or her price range. There is no worse feeling for a buyer than to fall in love with a home only to find out it’s out of their price range.
A pre-approval will solve this problem. You’ll start out your home search knowing what you can afford and you’ll quickly get a feel for what things are common in your price range.
Strengthens Your Negotiation Power
A buyer who can present a pre-approval when he or she writes an offer has better negotiating power than a buyer who doesn’t. This is another big reason why Knoxville realtors will request a pre-approval letter.
In a situation where a seller receives multiple offers, a buyer who is pre-approved will stand out over one that is not. It shows a seller that you’re a solid buyer and have taken the time to get pre-approved.
It can also be good to show that you’re pre-approved with a local lender who has a good reputation.
In a day in age where there have been incidences of realtors getting injured while preforming their normal day to day duties, there is always some risk to meeting a buyer without having met him or her.
A buyer who takes the time to get pre-approved is one big way for realtors to protect their safety. A buyer who takes the time to give out information about their income, debts, and other personal details is going to be a serious buyer.
Are you thinking about buying your first Knoxville home? Please let us know if there is anyway that Knoxville Home Team can assist you in your home search. You can contact Rick at 865-696-9002 or via email at Rick@KnoxvilleHomeTeam.Com. Or, you can contact Kati at 865-392-5880 or via email at Kati@KnoxvilleHomeTeam.Com.