“But I qualify for so much more, I know I’m going to be approved, why do I need that condition of financing?”
My answer to that? You don’t. However, if you don’t have it and financing is not approved, can you still purchase the house? If your answer to that is no, you may want to think long and hard before not putting in that clause.
Even if you as a new and potential client look fantastic to the lender, there is no way to know what they will think of the property until an approval is obtained. What if the property value isn’t there, can you come up with more down payment? A past collection suddenly appears on your credit bureau, can that be fixed before the closing date?
A discussion with both your Mortgage Agent and Real Estate Agent is an important piece to this puzzle, only they can present you with the scenarios relating to your specific situation to help you make a decision.
Got a mortgage question? I have your answer!