Louisville Kentucky Home Insider: What Does a Pre-Approval Letter Mean To a Seller?

What Does a Pre-Approval Letter Mean To a Seller?

Excellent blog post below from Michael Dunsky regarding getting Pre-Approved as a buyer. It truly is so important to do this prior to anything else before purchasing a home...it'll save you so much headache, time & enegry in the long run and will give you an advantage over other buyers if you run across a "hot property".

In today’s world, home-buyers needs a pre-approval letter before any seller will take them seriously.

A buyer needs to be pre-approved before they can make an offer on a home because the pre-approval indicates they’ve been approved to afford a certain loan amount. The best real estate agents make sure their clients are pre-approved at the beginning of the home buying process.

It is also important to know that a pre-qualification letter is NOT equal to a pre-approval letter

A pre-approval letter means that the lender has independently verified your credit, income, and all the factors that are needed to determine a loan amount. The buyer has access to that loan when an offer on a home has been accepted. A pre-qualification letter is not an approval for a loan.

When you are pre-approved, there is very little that can stand in the way of you purchasing a home for the dollar amount you’ve been approved for.

michael dunsky










What Does a Pre-Approval Letter Mean To a Seller?

1. Your pre-approval letter will either give the seller reasons to accept your offer or to reject your offer. Make sure you are making offers on houses within the range of what you’ve been approved for.

2. Sellers and real estate agents feel more comfortable if the letter is from a local lender. If the agent can vouch for the mortgage lender than it makes a great impression on the seller who may be skeptical about pre-approval letters from non-local companies.

The pre-approval letter also let’s your real estate agent know what you can afford so they can find a home to fit your profile.

Remember that sellers need to see that you are pre-approved, not just pre-qualified. For more help with getting your own pre-approval letter, give us a call today at 508-528-1800.


  Michael Dunsky
Vice President of Mortgage Lending
P: (508) 528-1800
F: (508) 749-7695
NMLS ID: 21372
38 Pond St, Ste 208 • Franklin, MA • 02038NMLS ID 2611
Licensing Information:http://www.guaranteedrate.com/licensing

Sean S. Williams
Licensed Broker, Realtor
®, ABR®, e-Pro®
1st Time Buyer & Relocation Specialist
502.727.9784 cell
Semonin Realtors
of Louisville, Kentucky
"Eat. Sleep. Real Estate."

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Comment balloon 2 commentsSean Williams • July 29 2012 02:12PM


In our area you need a pre - approval letter to have your offer heard.

Posted by Elite Home Sales Team, A Tenacious and Skilled Real Estate Team (Elite Home Sales Team OC) over 6 years ago

Give my seller a pre approval with the only contigency being the property appraising.

Posted by Charles Stallions, 800-309-3414 - Pensacola, Pace or Gulf Breeze, Fl. (Charles Stallions Real Estate Services ) over 6 years ago