up with a bunch of hollow promises only to put your real estate buyer-client into a cheaper house or into the one they want but at exorbitant terms. I don’t sell you a bill of goods that doesn’t exist. I’ll give you an honest assessment of the buyer’s odds of getting approved for a loan. I’ll let you know if I think your buyer can obtain a loan through my sources on desirable terms — and I’ll let you know if they can’t. If there’s anything shaky in what I see, I’ll let you know about it and say it loud and clear: “Hey, I think I can get the loan, but I’m not 100% sure.” That way you can make an honest and educated decision on whether or not to show that buyer a multitude of houses. After all, why show a bunch of houses to a client if you know they will not be able to afford any of those properties? This will save you time and give you the ability to prioritize your efforts on the clients who are financially sound enough to buy the houses they are seeking. The best way for me to tell you this information is through a pre-approval letter. Once again, when I say “pre-approval” I don’t mean “pre-qualification.” Remember that there is a big difference between these two types of letters! A pre-qualification is simply checking a buyer’s credit and asking a series of questions. The buyer can answer those questions however they like, as a pre-qualification doesn’t involve verification of those answers. In other words, a pre-qualification is a glorified credit check, which tells you very little about the chances of a buyer getting the loan they want. A pre-approval letter is where the answers the buyer gave to those pre-qualification questions actually get verified as being
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