For many home buyers, one of the first steps towards owning a new home is pre-approval. But what does that even mean? Is it important to get pre-approved? What will you need to get pre-approved for a home loan? These common questions and others are what we will be exploring today. What is pre-qualification? Don’t confuse pre-approval and pre-qualification. Pre-qualifying for a mortgage is based on financial information you verbally provide a lender to determine a general mortgage amount for which you might be approved. Pre-qualification does not look at your credit report, does not verify any financial information, and therefore does not carry nearly the same weight as being pre-approved. However, it can be helpful to get pre-qualified as it costs nothing to do, can be done within minutes, and can help steer you towards the right type of mortgage (Conventional, FHA, or VA). What is pre-approval? Pre-approval happens…

Read More