Real Estate Rookie 114: Rookie Reply: Should I Get Preapproved From Multiple Lenders?
This week’s question comes from Roosevelt on the Real Estate Rookie Facebook Group. Roosevelt is asking: I’m currently preapproved with one lender but another lender has a loan option my current one isn't offering. Can you be preapproved with multiple lenders at once? And are there any issues I could run into with this?
It’s commonplace in the real estate investing world to be preapproved by multiple lenders, that way, you’re never stuck without an option to finance a deal. Many investors also opt to use a mortgage broker that can help shop for loans on your behalf. If you’re worried about your credit score dropping because of preapprovals, try to apply for your loan applications within thirty days so credit bureaus count the multiple hard credit pulls as a singular instance.
Here are some suggestions:
Get preapproval from multiple banks (small, local, national, etc.)
Apply within the same thirty day period to minimize effects on your credit
Use a mortgage broker to save time when applying for loans
Ask what the lender has to offer, they may have custom loans for investors
And more in the episode…
If you want Ashley and Tony to answer a real estate question, you can post in the Real Estate Rookie Facebook Group! Or, call us at the Rookie Request Line (1-888-5-ROOKIE).
Links from the Show
Real Estate Rookie Rookie Facebook Group
Real Estate Rookie Youtube Channel
Check the full show notes here: https://www.biggerpockets.com/rookie114
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