
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: SUNDAY, April 23, 1995                   TAG: 9505080001
SECTION: AMERICAN HOME WEEK                    PAGE: 14   EDITION: NEW RIVER VALLEY 
SOURCE: 
DATELINE:                                 LENGTH: Short

MORTGATE LENDER TERMINOLOGY

Pre-Qualifying: the act of receiving an opinion from a Mortgage Professional before making formal loan application. The opinion provides a narrow measure of your ability to qualify for a mortgage loan.

Credit Approval: a commitment by a lender, after receiving your formal application for a mortgage loan. This commitment provides the maximum amount of loan for which you are qualified and lists any specific conditions which must be addressed. The approval is for a specified period of time and is subject to an "Appraisal" sufficient to justify the loan amount.

Credit Approval provides the entry point to successful contract negotiation with a seller. Consider, from the seller's point of view, which potential home buyer is immediately empowered to fulfill the terms of a contract for purchase; one who is pre-qualified or one who is pre-approved? The pre-approved purchaser is clearly in a better position to negotiate with the seller.

Contact Susan Stroup, Mortgage Loan Officer with First Union at (703) 381- 6236 and be pre-approved before looking for your new home, then negotiate with power.

by CNB