is this new? (real estate, mortgage broker, credit report)

[spsu]

when you make an offer can the seller agent request credit scores, social security #'s or that you use a specific bank. I have walked away from two homes because i felt uncomfortable with these demands even before an offer is accepted

[Walter Greenspan]

Originally Posted by spsu

when you make an offer can the seller agent request credit scores, social security #'s or that you use a specific bank. I have walked away from two homes because i felt uncomfortable with these demands even before an offer is accepted

First, in most, if not all, markets, "offer" means to sell (I'm offering to sell to you a widget or a house or a ????? at a specified price or barter exchange) and "bid" means to buy (I'm bidding to buy from you a widget or a house or a ????? at a specified price or barter exchange).

Second, the seller can ask for lots of things, and a buyer can chose to provide the requested information or not.

[I_Love_LI_but]

Originally Posted by spsu

when you make an offer can the seller agent request credit scores, social security #'s or that you use a specific bank. I have walked away from two homes because i felt uncomfortable with these demands even before an offer is accepted

Yes they can. It doesn't mean you are obligated to give them any of it of course.

With the cost of houses these days (and in the recent past), many RE agents will not take a buyer out to see houses unless the buyer has been prequalified or preapproved for a mortgage. I can't say that I blame them either. It's hard to make money off buyers for RE agents in NY and a lot of their efforts can go to naught even with buyers who have proven means to actually purchase a home.

[spsu]

so if i bid on a home and send my preapproval letter to the seller agent, they can ask for any personal information in additon even before it is at least accepted or counteroffered?

[rprprprp]

I am in the process of buying a house and no one has asked me for more than our pre approval. We have bid on two ( got outbid on the first one). I wouldnt give my Social Security number to a real estate agent.

Now for the mortgage thats a different story.

[Kbinspections]

Originally Posted by spsu

so if i bid on a home and send my preapproval letter to the seller agent, they can ask for any personal information in additon even before it is at least accepted or counteroffered?

IMO....as long as the pre-approval is from good lender, I think thats all they need. How much are you putting down? The lower the #, the more nervious the sellers will be.

[TomMoser]

A seller cannot make you use a particular lender. They may ask that you get pre-qualified through a particular lender, as long as there is no cost or obligation. Today, with so many deals falling apart because of the buyers inability to get a mortgage, it is becoming more common for sellers to ask for credit reports and other evidence of mortgage eligibility before accepting an offer.

[jasonsdaddy]

Like Walter says, they can ASK for anything... and you can choose to supply, or not (and I think you're right to be wary here). It sure seems like they're just trying to verify your creditworthiness and a pre-approval letter ought to be all they need.

I'd WALK from any selling arrangement that required me to use a specific bank... I'm no expert but this feels borderline illegal, if not unethical.

[TomMoser]

Originally Posted by jasonsdaddy

Like It sure seems like they're just trying to verify your creditworthiness and a pre-approval letter ought to be all they need.

It's important that you understand the difference between a pre-qualification and a pre-approval.

A pre-qualification letter is very easy to get. It is based on the unverified information that you give to the mortgage broker or banker. Sometimes they will check your credit, but usually not your assets, income, or other information. In fact, you can get one on line in about 2 minutes.

A pre-approval, on the other hand, means that you have already gone through the entire application and approval process with the bank, and that all you need is a property that will appraise.

These two terms are often used interchangably, but there is a huge difference between the two.

[brassbin]

hmm..., i always thought pre-approval just means your credit score would be checked but not income, a commitment on the other hand means the whole nine yards