Getting your purchase offer accepted in today’s market is a tough gambit. The combination of low inventory and multiple offers being made on most properties translates into fierce competition. Most sellers are looking for a quick, uncomplicated sale. And any offer other than an “all cash” bid, or that is without the backing of a rock-solid loan approval is destined for a quick toss into the waste basket. Most listing agents vet loan pre-approvals and will reject any that appear less than ironclad, or that are backed by certain banks whose reputations for delaying escrows are common knowledge.
So how do you make your offer stand out and get that elusive winning bid for your new home? The first step is to get a solid loan pre-approval. But many banks limit their upfront work to pulling credit and gathering a fraction of the documentation that will be required to underwrite a loan (yes, often those very banks with lousy reputations for closing on time). But, even if your loan approval is in the best standing, how can you prove this to a naturally skeptical listing agent? One great way is with the Pinnacle Capital Mortgage Offer Advantage program, where we will guarantee a 10-day loan contingency period and a 25-day close of escrow or Pinnacle will pay the seller $100 for every day we are responsible for a delayed close!
We’re able to put our money where our mouth is and offer this guarantee because of the confidence we have in our processing, underwriting, and funding teams. But this offer can only be given to borrowers who’ve been fully pre-approved to our high standard…and the standard you deserve. Keep in mind that virtually every purchase contract has a loan contingency period (the norm is between two and three weeks). Once this period is up, your deposit money is generally subject to forfeiture in the event your loan doesn’t fund. Again, we’re willing to give you the backing you deserve and to put our own money on the line. But this offer can only be extended to applications that have been fully processed and underwritten. So it is always best to begin the approval process early and get all of your ducks in a row… and to be in position to get that winning bid!