When is the right time for a loan?

[Joshua Daniel Saturley]

Hello Forum Members!

I am brand new to the forums and had a question in regards to financing a deal. In particular I would like to know the appropriate time to get a loan on a house. If I am looking at a pre-approved loan, like an FHA loan, should I do it before I start searching for properties? If I am doing a hard money loan, wouldn't I need to figure out all of the details of the property before I am able to apply for financing? Should I pull the information about the house, run my due diligence and look for a loan? Or should I get my offer approved/under contract and then search for a lender? How much time does that give me? Any help or advice would be greatly appreciated!

[Michael Cohen]

I strongly suggest you get pre-approved with a traditional lender first. You can always go hard/private money later, but a traditional lender (bank, credit union, national or local purchase lender, etc.) will be able to tell you how your debt-to-income will be calculated per government guidelines and underwriting. Ultimately, this will tell you how much you can qualify for.