Mortgage Pre-Approvals: What You Need to Know

Owning a home is a significant milestone, but the path to homeownership can be complex. A mortgage pre-approval is a preliminary assessment from a lender indicating how much you may be eligible to borrow. It involves evaluating your financial situation, including income, credit score, and debt-to-income ratio. Benefits of pre-approval include understanding your budget, gaining negotiating power, streamlining the buying process, and identifying potential financial issues. The pre-approval process typically takes a few days to a week and is valid for 60 to 90 days.