Can anuone tell me the time frame of shopping for a loan and the inquiries will be lumped together as one. I don't need to close until October and an getting preapproved right now and am worried about pulling now and then. thanks Kara
Hi Karak, I've recently been shopping around for rates on a refi. To my knowledge I've notice most of the lenders I have talked to emphasized on how fast they can close the loan most try to aim for 30 day 45 day close, my imppression the faster the better the rate. Probably based on that, decide first which lender is offering you the best rate and term, the best thing to fast close is to have all papers ready ahead of time tax forms, most recent pay-stubs, bank statements if needed, etc....Ask the lender ahead of time which appraiser they use in your area so that you can get the appraisal done ahead of time while the loan application is being processed. You might also befor filling out the loan app ask what rate to expect based on your fico score and a general explanation of your credit history, as some lenders are more leanent than others. Umm also, you prob already know this but another general rule of thumb to see what amount you'll qualify for is prob 29% of your gross montly income(combined) does not exceed the monthly loan payment, some lenders will go higher on this percentage but often comes with higher rate. Hope I made sense on this,Goodluck. I'm prob missing something here so feel free to jump in heh. Kinetix
Karak The pre-approval process is just that, and has nothing to do with "locking" the rate. For the pre-approval, your lender will pull your credit. They will again pull your credit when they get close to closing time. Understand that pre-approval just provides the mortgage company with the groundwork to determine what type of mortgage that you will qualify for. At this point you will find out if you qualify for a conventional, FHA, or have to go non-conforming. If you qualify for either conventional or FHA then the mortgage company can do most of the process electronically. If you only qualify for a non-conforming mortgage then your mortgage broker should pull a trimerged report and include it with the applications that are sent to the various lenders that he/she works with. In that way, you will not be inundated with inquiries. Good luck on the home and I hope this helps. fla-tan
