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TIL that getting pre-approved doesn't mean you're actually approved
Went to an open house in Phoenix last weekend and found a perfect little 3BR for $285k. Put in an offer with my pre-approval letter from my credit union, feeling good. Seller accepted! Then my lender called and said they need more docs, turns out the pre-approval was just based on what I told them, not what they verified. Had to scramble to dig up two years of tax returns and bank statements. Has anyone else gotten burned by thinking a pre-approval letter was the final word?
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kimr912mo ago
Pre-approval letters are basically worthless. Pre-underwriting is the only way to know you're actually good.
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sandra_moore302mo ago
Read an article recently that broke down how many pre-approvals fall through because the lender didn't actually check all the documents. Pre-underwriting is definitely the smarter move since they look at your tax returns, bank statements, and pay stubs upfront. Too many people get a pre-approval letter and think they're golden, then get blindsided at closing. Real estate agents I've talked to say pre-underwritten buyers are way more likely to close on time too. Sellers and listing agents know the difference and take those offers more seriously these days.
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