Home Selling in Austin>Question Details

cuteshoes11, Both Buyer and Seller in Houston, TX

Can I get pre approved before I sell my house even though I won't have the down payment yet?

Asked by cuteshoes11, Houston, TX Tue Apr 16, 2013

I am selling my house. I need the money I make from selling it for the down payment on a new house. I do not want a bridge loan or home equity loan. Can I get pre approved before I sell my house even though I do not have the down payment yet? I would like to buy a new house soon after selling my current home.

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Answers

12
Yes, if you need the funds from the sale to purchase the next home your lender can give you a pre qual letter that is contingent upon your home sale.
0 votes Thank Flag Link Thu Feb 26, 2015
Yes the pre-approval will be contingent on selling your home. We have help many families sell and buy some even close both on the same day. Lease back is also another option.
0 votes Thank Flag Link Fri Feb 20, 2015
You can enter a contract for the purchase of a new home that is contingent on you selling your existing home. The equity in your existing home can serve as the down payment.
0 votes Thank Flag Link Thu Feb 19, 2015
Yes, you can. I've worked with clients in similar situation. In fact you should start talking to you lender right away so you know what home price range you can afford to purchase (of course it's contingent upon how much your home will sell for).

Good luck!

Susie Kay, Realtor®
GRI, CHMS, SFR
Residential/Commercial/Investment
English-Indonesian-Hokkien
------------------------------------------------------------------
United Real Estate
III Lincoln Centre, 5430 LBJ Freeway #280
Dallas, TX 78240
469-371-2899
susie_k@att.net
http://www.dfwdreamhomes.net

Servicing your real estate need is my priority!
0 votes Thank Flag Link Thu May 30, 2013
This is a great question. You are not alone. I am working with a client in a similar situation right now. When talking to your mortgage broker or lender, have the conversation about what you can afford before your house sells and then after. Be open and honest with your agent about your needs.
0 votes Thank Flag Link Thu Apr 18, 2013
Leslie Thurman Exit Options Realty in Austin, Tx. Absolutely, you want to know exactly what you qualify for when you start your home search. If I can be of any assistance please let me know.

Leslie Thurman
Exit Options Realty
808-214-0277
lesliejimmie@aol.com
0 votes Thank Flag Link Wed Apr 17, 2013
cuteshoes, YES!! That is actually one of THE most important steps before you sell your house, to make sure you are qualified to purchase once you sell. If you do not do the pre-approval and sell your house, and find out you have some issues somewhere with your credit, debt to income ratio, etc. what would happen then?

If you need some assistance, I have some excellent lenders who can walk you through the pre-approval process at no cost to you, plus I have a worldwide referral network including some excellent Realtors in Houston. If you are looking to move to Austin, I am one of the top agents here and would be happy to assist you on this end. If you're looking to move elsewhere, I probably have some top agents I can refer you to there as well. I have over 60,000 agents at my disposal. Let me know if you need any further assistance… Joe

Joe Jarusinsky, Realtor/Master Instructor, Keller Williams Realty, Austin's #1 Real Estate Company, Ranked #1 by Buyers and Sellers (JD Power & Assoc. 2012)
Call 512-261-4415
0 votes Thank Flag Link Tue Apr 16, 2013
Hi Cuteshoes11
Yes you can get pre-approved for the new home contingent on you selling the current home. In fact this is a very important step since you want to make sure you are good to go on purchasing a new home before putting your current home on the market. You wouldn't want to face a situation where all of the sudden you have to rent because you sold your home and you find out there are some snags in getting approved for a new loan.

You'll also want to sit down with a realtor and get a good idea of how much you can expect to walk away with from the sale of your home, after paying any applicable taxes and realtor commissions. Be conservative on this, since you don't want to come up short on the new mortgage. Also, this realtor can help you start looking at new homes as well to see what is available in your price range.

Hope this helps. If I can be of assistance in getting you pre-approved for your new loan please email me or give me a call at 866-936-5363 ext. 278. My company lends in all 50 states and we do lots of mortgages in Texas.

Tony
0 votes Thank Flag Link Tue Apr 16, 2013
Definitely. When you talk to a lender, they will ask you all those questions, and can get you a preapproval based on the sell of your current home. Once your home is under contract, a lot of times we can negotiate the purchase of your new home with a contingency offer, based on the sale of your first home. If you have a lender you have worked with in the past, you should give them a call, or if you need some recommendations, we have several that we work with regularly that are happy to answer any questions you have. Are you looking to purchase a home in the Austin area? Feel free to check out our website http://www.ppgtx.com.

Brooke LeMond, REALTOR
Coldwell Banker United, REALTORS
512.284.0799
0 votes Thank Flag Link Tue Apr 16, 2013
Hello,

You definitely should. This is an important step in the home buying process. May people wait to get pre-approved until after they start looking and problems can arise that could have been addressed earlier. I see you posted in Austin. I am a Realtor and Mortgage Broker and would be happy to assist you with the pre-approval process. If you would like to discuss your options further please give me a call.

Thank you,

_____________________________________________________
Don Groff | REALTOR® & Mortgage Broker
Austin Real Estate Pros & 360 Lending Group
o 512.669.5599 | m 512.633.4157 | listings@dongroff.com
websites: http://www.AustinListed.com | http://www.360LendingGroup.com
Web Reference: http://www.AustinListed.com
0 votes Thank Flag Link Tue Apr 16, 2013
Yes, is your house currently on the market?

Thanks

Allan Griego
Private Label Realty
512.705.0610
0 votes Thank Flag Link Tue Apr 16, 2013
Absolutely, in fact I encourage all sellers to get pre-approved prior to selling their home so that they know what amount they can be qualified for on their next home.
I would be happy to pre-approve you when you are ready.
Lea Shaw
Pulse Funding of Texas Inc.
512-266-3800 - Office
512-592-7910 - Cell
0 votes Thank Flag Link Tue Apr 16, 2013
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