All mortgage commitments will list the price of the purchase price and loan amount, as well as the type of financing. Keep in mind there will usually be some conditions which will need to be satisfied before closing, such as proof of insurance, etc.

In New Jersey, unlike most states, if a mortgage commitment has contingincies that are beyond a borrower's sole control (for example, that they sell their own home before they close on the home they are buying), than the mortgage commitment is considered "not firm" and either party may cancel the contract under its mortgage commitment clause. (This is something that most real estate brokers and even most real estate lawyers don't know.)

Hi Sandy,

I have never seen a mortgage commitment not include the purchase price and loan amount. The commitment will also detail any and all contingencies which have not yet been met.

Deborah

Hi Sandy, when you make your offer, the seller will look for a mortgage preapproval from a recognized and respected mortgage provider for comfort that you have been preapproved to borrow the amount of the offer you plan to finance. In the Mortgage Contingency section of the contract, you specify a date by which you will provide the actual mortgage commitment which comes after the bank has completed their complete review of your application and all supporting documentation as well as the appraisal of the property. The Mortgage Commitment is, as Corey states, the bank's promise to lend you the money.

I hope that helps. If I can be of further service, please do not hesitate to reach out to me. You can also find me at http://www.feenick.com

Best,
Jeannie Feenick
Weichert Realtors
908-337-0943 http://www.feenick.com

Sandy,
There are conditional commitments where the lender has placed a number of contingencies such as satisfactory appraisal, proof of continued employment, proof of cancalled debts judgements...but I have never seen one that was missing an amount. (This is the most important information)

Dear Sandy the commitment is the promise from the bank to lend you the amount of money you need for a purchase based on the property and you meeting some requirements. (i.e. income, savings, employment verification,....) The commitment will definately have the amount of money you have qualified for and should be several pages. Please let me know if you have any further questions.