Mortgage Pre-Approval: Understand What it Means

Have you been thinking about your mortgage pre-approval? It’s all over the news. It’s a regular discussion topic at the dinner table or the coffee shop or the pub down the street: we are in an exceptionally active market in Victoria right now. For me, the recent conversations I have had with my clients is centred around taking the time to prepare for your purchase. The extra time spent upfront saves you from inevitable heartache over losing out on your perfect property. As part of our early market education at The Condo Group Real Estate, a visit to your mortgage broker is an incredibly important step. Your broker will establish what your budget is and where to start your search.

Because of the active market, I am hearing many stories of clients walking into contracts with “pre-approvals.” There is a difference between “pre-approval” and “firm approval,” and it is important to understand the difference so that you are as prepared as you can be to make a move in this wild real estate market.

Take the time to prepare yourself before heading into this wild Victoria real estate market.

The short story is documentation. If a financial lender gives you an approval without giving you a list of required documents, then chances are you are not yet fully approved and are holding on to a “pre-approval.” This simple step of ensuring you have exactly what you need in place will save a lot of stress when you are in a conditional contract on your dream condo or home and there are back-up offers in place restricting your chance for extensions, graces, or any kind of wriggle room.

If you need a great mortgage broker referral or aren’t sure where to begin with your financing, give a #condoexpert a call today and get your market education process started so that when your right place becomes available, you will be a confident buyer, ready and able to secure your dream home.

Happy home hunting!

– Kevin Jones*

*Personal Real Estate Corporation

Come meet your Condo Experts, and visit our modern new office, designed to enrich your buying and selling experience, located at 102-3645 Tillicum Road, Victoria, BC.

If you are going to be buying or selling a condo, now or in the future, get in touch with The Condo Group Real Estate Real Estate at 250-382-6636. In the meantime, search through thousands of listings in the Greater Victoria Area here.