Forgotten Your Password?

Need to Register?

Question Icon

WHEN YOU ARE SELLING AND BUYING A HOME DONT YOU HAVE TO HAVE A LETTER OF CREDIT TO ENTER INTO A CONTRACT TO BUY//

by kippdbr523 from Wichita, Kansas. May 15th 2015 Reply


Korwin Wall (Korwin Wall)
#2 ranked lender in Kansas - 33 contributions

When you are buying a home and have not yet sold your home you can do several things. It depends on if you qualify with maintaining the debt on your current home. If you can qualify with both payments you can simply buy the new home. If you can not you make the contract on the new home contingent on the sell of the current home. Either way typically the seller will require a pre-qualification letter from a lender. That pre-qualification letter should define the conditions in which you qualify. So if your current home must be sold to qualify it should state that. If you have any other questions feel free to contact me at kdwall@kdwallstreet.com or 785-806-4127.

May 15th 2015
1
0
Mike Purkey (mpurkey)
#45 ranked lender in Kansas - 26 contributions

Yes, typically the seller of a home (and/or the real estate agent representing them) will request something from the buyer to show that they are qualified (letter of credit, to use your term) to purchase the home. This will ensure that the buyer is truly able to follow through with the contract. This will also prevent wasting the seller's (and buyer's) time on putting together a contract in the event the buyer(s) have not been pre-qualified. If you are looking for a local lender to get you (or a buyer of your home) pre-qualified, please call me (316-259-5862) or email me (mpurkey@primeres.com). I would be glad to sit down with you and discuss the steps necessary to make a deal happen. Thanks, Mike Purkey

May 15th 2015
1
0
William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,722 contributions

Not when you're selling, but when you're buying, if you want your offer to get any consideration at all, you better have a "Pre-Qualification" from filled out by your lender, and submit it along with your offer.. think about it.. if you are selling your home and you get 3 offers.. 2 have pre qual letters, and one does not.. who are you going to pick? The logical answer is the one who has already talked to a loan officer, submitted documentation and has been pre approved.. Realistically, you should get pre approved before you even list your property for sale.. how sad would it be if you sold your home, but could not qualify for a new home?? We are no longer in the days that "Anyone who can fog a mirror" will get approved.. I've had borrowers with 760 credit scores get denied.. do yourself a favor.. call a local mortgage broker and give him 10 minutes of your time.. .. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com

May 15th 2015
1
0
Sara Deere (Saraloveshomeloans)
#39 ranked lender in Kansas - 538 contributions

I agree with other previous submissions to your question. If you are buying a home, we can actually provide you with a credit approved letter to give to a Realtor. Michigan Mutual is very competitive in regards to rates and overall costs. Pre-qualified and pre-approved are two different terms when purchasing a home. Again it is wise to get pre-approved for a purchase, before selling the current home. You can find out more information and directly apply at www.mimutual.info/sdeere. You can also contact me directly at 816-739-62797.

May 15th 2015
0
0
Phil Dumouchel (PhilDu)
#32 ranked lender in South Carolina - 2,240 contributions

It's really up to the seller and the Realtor representing you. If your purchase is dependent on another property selling, and you'll be paying cash, you may not need a pre-approval from a lender. - Really it depends on the details of what you are doing and how you plan to pay for the home.

May 15th 2015
0
0
Subscribe to our news feed.