Mortgage prequalification helps you better understand your home loan options. Learn how it's different from preapproval, how to get prequalified, and more.
Affiliate links for the products on this page are from partners that compensate us (see our advertiser disclosure with our list of partners for more details). However, our opinions are our own. See how we rate mortgages to write unbiased product reviews. If you're getting ready to start the homebuying process, one of the first steps you'll likely take will be to get preapproved for a mortgage. Getting a mortgage preapproval can help you understand how big of a loan you could qualify for and how much you could end up paying each month on your mo ...
If you’re just starting your new home search, mortgage prequalification can help you better understand available mortgage options and how much house you can afford. Receiving a lender’s prequalific...
Getting a mortgage prequalification can be a key advantage in buying a home. Here’s what prequalification involves and what you’ll need
Benefits of a mortgage prequalification · Mortgage prequalification is a simple process that uses your income, debt, and credit information to let you know how much you may be able to borrow. Getting prequalified before you shop for homes can help you: Focus your search. Establishing your price range up front means you can target the right homes within your budget. Move forward confidently. When it’s time to make an offer, you’ll have the confidence of knowing you can back it up. Know your...
Simple and online. You don’t need to head to the bank to get preapproved for a home loan—you don’t even need to leave your couch. ; Get preapproved quickly. Receive your Verified Preapproval Letter and know exactly how much you're approved for. ; Self-serve access. Access, customize and download your Verified Preapproval Letter online at any time.
Key takeaways ; Prequalification is a simple, quick process that provides a general indication whether you would qualify for a mortgage. ; Preapproval requires providing extensive documentation regarding your income, employment, savings and debt. ; You can’t use a prequalification as evidence of financing when making an offer on a home.
If you’re kicking the tires of homeownership, a mortgage prequalification letter gives you a lender’s best guess about how much you can borrow based on a quick review of your finances. However, if you’re serious about making an offer, a mortgage preapproval tells a seller you’re financially ready to buy because your lender has to vet your finances to provide a preapproval letter. Understanding the difference between prequalifying for a mortgage and getting a preapproval will help you dec...
What to do now Decide when to get a preapproval letter Lenders typically check your credit... What to know Different lenders use the terms “prequalification” and “preapproval”...
What is a mortgage preapproval? · Factors affecting mortgage preapproval · How to get preapproved for a mortgage · Preapproval vs. approval · FAQs about mortgage approval