15 Jul Pre Approval Letter Strategy
What’s the best strategy with a pre-approval letter? I’m in NJ if that matters
I think I can be pre approved for an amount that’s way above my budget, probably ~1.1MM. My budget is $850k. But who knows, I might find a house for even less than that that I like, let’s say $750k.
Do I ask the bank for a pre-approval letter for the max of my budget? Do I get one for the max that the bank will lend?
Could it hurt in negotiations when you have a pre approval letter for $850k but you put in a $700k offer? The seller will then know that I’m actually able to pay more. Won’t this influence their counter offers?
Appreciate any insight on this. Thanks.