Let me tell you, pre-approval season is in full swing for spring! I know, I know, the mere mention of “pre-approval” might make some of you break out in a cold sweat, but fear not! If you’re wondering how to get pre-approved for a home loan, I’m here to break it down for you in a way that won’t make your eyes glaze over.

Why do I need a pre-approval?

First things first, let’s talk about why getting pre-approved is so darn important. Think of it like getting a golden ticket to the homebuying chocolate factory. Without it, you’re just another kid with their nose pressed against the window, dreaming of those sweet, sweet real estate treats. But with a pre-approval in hand, you’re basically Willy Wonka himself, ready to strut your stuff and make those sellers swoon.

Now, I know what you’re thinking, “But Cristi, gathering all those documents sounds like a nightmare!” Well, my friends, it’s really not as bad as it seems. Sure, you’ll need to round up a few things, but think of it as a scavenger hunt – only instead of finding random knick-knacks, you’re putting together the pieces of your homebuying puzzle.

It’s easy as 1, 2, 3 –

Let’s break it down into three simple categories:

1. Income: This one’s pretty straightforward. Whether you’re a W-2 wage earner, a 1099’d subcontractor, or self-employed as your own boss, we’ll need to see some proof of that sweet, sweet cash flow. Paystubs, W-2s, 1099s, tax returns – you know, the usual suspects. For paystubs, we’ll need to see 2 months. For documents like W-2s, 1099s or self-employed tax returns, we’ll need to see 2 years.
2. Assets: This is where you show us the money, honey! We’ll need to see where those down payment funds are coming from, whether it’s your trusty savings account, a retirement fund, or your secret stash of gold doubloons (hey, no judgment). For documents like bank statements, we’ll need to see 2 months of the most recent consecutive statements.
3. ID: Yep, we need to make sure you’re not some random person trying to pull a fast one. A valid driver’s license, passport, state ID, or military ID with a picture will do the trick.

Of course, there might be a few extra things to consider depending on your situation. Maybe you’ve got a side hustle or two, or you’re about to start a new job. No worries, we’ll just need a little extra documentation to make sure everything’s looking good. If you have a special circumstance like starting a new job, receiving an inheritance, or separating from a partner, let me know as soon as possible and we can work towards gathering some documents that may help smooth those over.

I know, I know, it might seem like a lot, but trust me, getting pre-approved is like taking a big, deep breath before you dive into the homebuying pool. It’s going to make the whole process smoother, give the sellers confidence in your offer, and help us avoid any disruptive surprises down the line.

So, what do you say? Are you ready to take the plunge and get pre-approved? Just think of me as your trusty lifeguard, ready to guide you through the waters of homeownership. Now, let’s make some real estate magic happen!