Just saw a friend's offer get rejected because they didn't get a pre-approval letter first

My friend in Denver tried to put an offer on a house last week with just a verbal 'yeah, the bank said I'm good.' The seller's agent asked for the pre-approval letter and they didn't have one, so the seller went with another offer. I keep seeing people skip this step, thinking a quick chat with a lender is enough. In a hot market, you need that official letter ready to go with your offer, or you look unserious. It's the first thing our realtor asked for before we even started looking. Has anyone else lost out on a house because they weren't fully pre-approved?

2 comments

2 Comments

betty12620h ago

A pre-approval letter also shows the seller you've had your finances checked for real. That quick chat doesn't prove your credit score or job history is solid. It's like showing up to a job interview without a resume, you just seem unprepared.

sandra_murphy18h ago

Exactly what @betty126 said. That pre-approval letter is the only thing that makes a seller take you seriously. Saw it happen when my friend tried to put an offer on a place without one, and the seller just tossed it out. They had ten other offers with letters ready to go. It proves you're not just window shopping and can actually get the loan. Skipping that step just makes you look like you aren't ready to buy a house.