Pre-Approval and commitment letter

Rockpea · ‎04-07-2015

We're planning to have a home built. I got a preapproval for the amount of the home. I was asked by the guy from the lender for our social to pull credit report and he asked what does my husband and I make. Then we were sent the preapproval. After visiting the home community and picking things out, the price of home increased. I spoke with guy at lender and that's when I submitted all the information, W-2s, income tax returns, pay stubs and whatever else. He then issued a another preapproval. He said everything looked great and I see that he CC'ed an underwriter. I called and asked the person at the home community what did we need for them to get started, and was told a commitment letter. Is this the same as the preapproval I got?

frugalQ · ‎04-07-2015

If you are working with the builder's preferred lender, they will provide you with what they need. If you are using an outside lender, I recommend you show the sales agent what you have and ask if that's what they need.

Word of advise if working with an outside lender....make sure you ensure your lender and the builder have an open line of communication.

Anonymous · ‎04-07-2015

@frugalQ wrote:
If you are working with the builder's preferred lender, they will provide you with what they need. If you are using an outside lender, I recommend you show the sales agent what you have and ask if that's what they need.

Word of advise if working with an outside lender....make sure you ensure your lender and the builder have an open line of communication.

+1