Key Aspects of Mortgage-Financing Pre-Qualification

This process is an informal assessment by to determine how much you may be able to borrow based on basic financial information you provide.

Basic Financial Information

To assess your financial readiness, you'll typically provide details about your income, monthly debts, estimated home price, and assets like savings or investments.

Estimate of Loan Amount

Based on the information you provide, you will given you an estimate of how much you may qualify to borrow for a mortgage. This is often expressed as a range, such as “you may be approved for a loan between $200,000 and $250,000.“

No Documentation Required

Pre-Qualification is typically based on self-reported information, meaning you do not need to submit any official documents like tax returns, pay stubs, or bank statements at this stage. Because of this, it is not as accurate as a Pre-Approval.

Quick and Easy Process

Pre-Qualification can often be completed in a short phone call, on our online form, in-person meeting, or even through text messaging. The process usually very easy and does not take much time.

No Guarantee

Since Pre-Qualification does not verify your information, it is not a guarantee that you will get approved for a mortgage loan. Pre-Qualification is more of a rough estimate to help you understand your potential borrowing capacity.

Why is Mortgage-Financing Pre-Qualification Important?

Helps You Understand Your Budget

Pre-Qualifying gives you an idea of how much you can afford to borrow, which can help narrow down your home search.

Shows Bona Fide Intent

While it is not as strong as a Pre-Approval, it does show a serous bona fide intent that you are considering taking out a mortgage, which can be the first step in building a relationship with with your mortgage-financing professional and real estate team.

When you are ready to move forward buying a home, or investment home, you will need to go through the Registration/Mortgage-Financing Application process, where your financial details are verified, and you will get a more solid idea of how much you can borrow. To learn more about the Registration/Mortgage-Financing Application and Pre-Approval Process, and/or begin the formal process, *****