Are you pre-qualified or pre-approved for a loan?
Before you begin to shop for a new home, you should get a reputable "PRE-APPROVAL".  This will put you in a better position as a buyer. That’s when it is important to understand the distinction between being pre-qualified for a loan and pre-approved for a loan. The difference between the two terms will be crucial when you decide to make an offer on a house.

To get pre-qualified for a loan, we will collect information about your debt, income, and assets. We’ll look at your credit profile and assess goals for a down payment and get an idea of different loan programs that would work for you. We will issue you a pre-qualification letter indicating the amount you are pre-qualified to borrow.

It is important to understand that a pre-qualification letter is just an estimate of what you are eligible to borrow based on the information you provide.  Getting pre-approved for a loan gives you a competitive advantage when the time comes to bid on a home because you have been approved for a loan for a specified amount.

To get pre-approved, you will complete a mortgage application and provide our team with information verifying your employment, assets and financial status.  We will review your mortgage options and underwrite your application in our office. Once the application process is complete you will receive a pre-approval letter indicating the amount you are qualified to borrow for your purchase or refinance.

A pre-approval letter is subject to an appraisal of the home you wish to purchase or refinance and verification of the title to the property. If your financial situation changes (e.g. you lose your job), we may need to review your situation and recalculate your mortgage amount accordingly.