The Ultimate Chicken-or-the-Egg Question for Homebuyers
Buying a home? One of the first questions you’ll face is: Should I contact a real estate agent or a mortgage lender first? It’s a common dilemma—right up there with “Do I really need to fold my laundry immediately?”
The truth is, where you start matters. Choosing the right first step can save you time, money, and stress—and ensure you don’t end up drooling over dream homes you can’t afford (been there, done that).
So, let’s settle this once and for all.
The Case for Finding a Lender First
While a real estate agent is crucial, your financial situation dictates everything—what homes you can afford, how competitive your offers are, and even whether you can buy at all. That’s why talking to a lender first is usually the smartest move.
Why a Lender Should Be Your First Call:
✅ Budget Clarity: Avoid Heartbreak Early
Ever fallen in love with a house only to realize it’s way out of your price range? That’s what happens when you house-hunt before checking your finances. A lender will show you exactly what you can afford, so your search is focused and realistic.
✅ Pre-Approval = Stronger Offers
Sellers don’t want “maybe buyers.” They want pre-approved buyers who already have a lender’s green light. A pre-approval letter tells sellers: This person means business.
✅ No Last-Minute Surprises
A lender reviews your credit, income, and debt upfront. If there’s a hidden issue (like that old credit card from college), it’s better to fix it before you’re under contract on a house.
✅ Your Agent Can Work More Effectively
When your agent knows your budget, they can focus on homes you can actually buy. Otherwise, it’s like shopping for a Ferrari on a Toyota budget—fun, but not productive.
The Case for Finding a Real Estate Agent First – When It Makes Sense
While lenders usually come first, there are exceptions. Sometimes, reaching out to a real estate agent first makes sense:
✅ You’re New to the Process
If “escrow” sounds like a type of seafood, a real estate agent can be a great first step. They’ll explain the process, answer your questions, and even introduce you to lenders they trust.
✅ You’re Moving to a New Area
If you’re relocating, an agent’s local expertise is gold. They can help you understand different neighborhoods, schools, and commute times before you start working on financing.
✅ You Need a Lender Recommendation
Sometimes, an agent is your first contact, and they’ll introduce you to a great lender. That’s fine—but you’ll still need to get pre-approved before making an offer.
So, Who Should You Call First? The Smartest Approach
For most buyers, talk to a lender first.
Here’s the ideal roadmap:
Step 1: Get Pre-Approved
✔️ Contact a lender and provide financial documents (credit reports, pay stubs, etc.).
✔️ Find out what loan programs fit your situation.
✔️ Receive a pre-approval letter so sellers take your offers seriously.
Step 2: Find a Real Estate Agent
✔️ Choose a great agent who understands your needs and budget.
✔️ Share your pre-approval letter to boost your credibility.
✔️ Start your home search with confidence.
Final Thoughts: The Winning Homebuying Formula
Buying a home is a team sport—you need both a strong lender and a skilled real estate agent. But starting with a lender puts you in the driver’s seat.
So, if you’re serious about buying, call a lender first. And if you’re a real estate agent or loan officer, share this with your clients so they start their journey the right way!
FAQs: Quick Answers for Homebuyers
Q: Can I talk to an agent before a lender?
A: Yes, but expect them to ask about your pre-approval. Financing comes first in the homebuying process.
Q: How long does pre-approval take?
A: Typically 24–72 hours, depending on your financial situation and lender.
Q: Will a pre-approval hurt my credit?
A: A hard credit inquiry may slightly lower your score, but it’s minor and temporary.
Q: What if I get pre-approved but don’t find a house?
A: Pre-approvals last 60–90 days. If it expires, your lender can update it with refreshed financial info.
