The first and most important decision that a home buyer can make is to get pre-approved to purchase. 

A mortgage pre-approval is different than a simple pre-qualification.  Although related, the two terms each signify a different level of approval from a lender.


You can be “pre-qualified” by a lender, an agent or by yourself.  The term simply means that someone has taken a general look at your income and expenses and plugged them into a debt-to-income ratio formula.  Loan pre-qualification does not include an analysis of your credit report or an in-depth look at your potential to buy a home.  It does not require you to provide proof of income, proof of down payment or closing costs; or provide you with any commitment for financing.

Bottom line:  Pre-qualifying yourself before you start looking for a home will give you a general idea of the price range you can afford.  It will not nail-down an interest rate for you, and that factor and others will affect the monthly payments a lender will allow you to carry. 


A Mortgage Professional will take the steps necessary to obtain a mortgage pre-approval that will allow you to shop for your new home with confidence.

When you are pre-approved, it means a lender has looked closely at both your credit report and your income and has provided a written confirmation of your mortgage pre-approval.