This is a question I’m hearing every day right now:<\/p>\n
What does pre-qualification mean?<\/p><\/blockquote>\n
Why am I hearing that question? Because I’m representing the seller in a house that is not closing, day after day.<\/p>\n
So what does pre-qualification mean? Nothing.<\/p>\n
What does loan qualification mean? It means the buyer has paid the loan application fee.<\/p>\n
What does final underwriting mean? Hide and watch…<\/p>\n
Seriously, pre-qualification often doesn’t mean very much. The buyer may have had a phone conversation with the lender. They may have discussed income and debt. The buyer’s credit may have been run. But other than the credit report, there probably has not been any tangible demonstration of the basis of the pre-qualification.<\/p>\n
Lenders pre-qualify buyers because buyer’s agents ask for it.<\/p>\n
Buyer’s agents ask for it because listing agents ask for it.<\/p>\n
Listing agents ask for it because sellers ask for it.<\/p>\n
Sellers ask for it because they think it means something.<\/p>\n
Everyone else knows better…
\n<\/p>\nTechnorati Tags: arizona<\/a>, arizona real estate<\/a>, phoenix<\/a>, phoenix real estate<\/a>, sellsius 101<\/a>, real estate<\/a>, real estate marketing<\/a><\/p>\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
This is a question I’m hearing every day right now: What does pre-qualification mean? Why am I hearing that question? Because I’m representing the seller in a house that is not closing, day after day. So what does pre-qualification mean? Nothing. What does loan qualification mean? It means the buyer has paid the loan application […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_crdt_document":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[12,6,5],"tags":[],"class_list":{"0":"post-463","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-ask-the-broker","7":"category-marketing","8":"category-real-estate","10":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":18146,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/18146\/overnight-news-what-does-exclusive-mean-it-means-make-your-own-rain-cowbird\/","url_meta":{"origin":463,"position":0},"title":"Overnight News: \u201cWhat does \u2018exclusive\u2019 mean?\u201d It means make your own rain,\u00a0cowbird!","author":"Greg Swann","date":"May 16, 2021","format":false,"excerpt":"MLS fights are always about Residential listings. Nobody is claiming to have lost sleep (or money or jobs or opportunities) over Land and Lots or Multi-Family or BizOps. No one at Redfin is tasked with tracking underperformance by Patagonian buyers competing for Industrial properties. You might from this conclude that\u2026","rel":"","context":"In "Group Therapy"","block_context":{"text":"Group Therapy","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/group-therapy\/"},"img":{"alt_text":"Ya think it's easy?","src":"https:\/\/i0.wp.com\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-content\/uploads\/2020\/08\/BHBNewTopImage-300x225.jpg?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":367,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/367\/realty-reality-calculating-the-value-of-effective-new-build-buyer-representation\/","url_meta":{"origin":463,"position":1},"title":"Realty reality: Calculating the value of effective new-build buyer representation . . .","author":"Cathleen Collins","date":"September 22, 2006","format":false,"excerpt":"Greg just posted an email he received from a West Valley broker, Joe Bourland. I want to respond to his last paragraph:Maybe you should look into your established practices of real estate. There is an immense value in representation. Hopefully, the educated buyer you warn will realize the disservice you\u2026","rel":"","context":"In "Marketing"","block_context":{"text":"Marketing","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/marketing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2179,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2179\/a-consumers-guide-to-the-divorced-real-estate-commission-why-buyers-and-sellers-each-paying-for-their-own-representation-is-the-most-significant-reform-that-can-be-made-today-in-residential-real-estat\/","url_meta":{"origin":463,"position":2},"title":"A consumer’s guide to the divorced real estate commission: Why buyers and sellers each paying for their own representation is the most significant reform that can be made today in residential real estate","author":"Greg Swann","date":"November 7, 2007","format":false,"excerpt":"Part I: How we got into this mess in the first place Can we be straight with each other? I'm not a soft and subtle kind of guy, and my working assumption is that you are sick to death of being hustled -- handled -- lied to. We yammer all\u2026","rel":"","context":"In "Marketing"","block_context":{"text":"Marketing","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/marketing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":296,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/296\/securing-the-home-buyers-place-at-the-table-how-two-simple-reforms-can-finally-result-in-a-full-uncompromised-form-of-buyer-representation\/","url_meta":{"origin":463,"position":3},"title":"Securing the home-buyer’s place at the table: How two simple reforms can finally result in a full, uncompromised form of buyer representation . . .","author":"Greg Swann","date":"September 6, 2006","format":false,"excerpt":"Executive summary: This is long, and it's written (I hope!) for ordinary people, not real estate professionals. But I want for real estate professionals to be aware of this argument, because I think it solves several of the knottier problems affecting our industry. Here's a quick summary of the essay:Buyers\u2026","rel":"","context":"In "Enduring Interest"","block_context":{"text":"Enduring Interest","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/enduring-interest\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1113,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/1113\/interview-lenn-harley-of-homefinderscom\/","url_meta":{"origin":463,"position":4},"title":"INTERVIEW: Lenn Harley of Homefinders.com","author":"Brian Brady","date":"March 3, 2007","format":false,"excerpt":"I interviewed Lenn Harley of Homefinders.com, a buyer's brokerage in Maryland and Virginia (DC suburbs). Lenn is one of the true pioneers in online real estate brokerage. She figured out the power of internet marketing for real estate services while redfin.com's Glenn Kelman was marketing data servers and zillow.com's Lloyd\u2026","rel":"","context":"In "Real Estate"","block_context":{"text":"Real Estate","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/real-estate\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":509,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/509\/ask-the-broker-is-a-buyers-agent-like-a-bad-penny\/","url_meta":{"origin":463,"position":5},"title":"Ask the Broker: Is a Buyer’s Agent like a bad penny . . . ?","author":"Greg Swann","date":"October 4, 2006","format":false,"excerpt":"When is a Buyer Broker Agreement abrogated, anyway?Is there a law stating that once your contract with your realtor is up that you must include them on the deal of the purchase of a home that they showed you?No such law. Feeling relieved? You can stop that right now. For,\u2026","rel":"","context":"In "Ask the Broker"","block_context":{"text":"Ask the Broker","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/ask-the-broker\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/463","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=463"}],"version-history":[{"count":0,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/463\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=463"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=463"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=463"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}