Experience the Power of Mortgage Prequalification

A couple taking a break from moving to lay on the floor together.

Planning to buy a home soon? Get off on the right foot by getting prequalified for a mortgage. You’ll have a better idea of what you are able to borrow for your home purchase, and you’ll be better prepared as you look for a new home.

Why should I get prequalified for a mortgage?

  • You’ll save time and effort shopping for a home within your budget.
  • You’ll receive information that’ll help you decide what type of mortgage is right for you. 
  • Sellers will see you as a serious buyer.
  • You’ll have bargaining power over someone who isn’t prequalified when bidding for a home you want. 

What documents are recommended for prequalification?

For a lender to prequalify you for your mortgage, they will review your application and credit report. Additional documents which may help your lender with the prequalification process include:

  • Proof of employment and income
  • Tax documents like Tax Returns and W-2 Forms
  • Statements for your checking, savings and retirement accounts, as well as other investments you may have
  • Monthly debt payments including auto loans, student loans and credit cards 
  • Information about any other assets you may own

Ask your lender for a complete list of documents you’ll need to provide according to your specific situation. 

What happens after I get prequalified?

Once you’re prequalified, you may ask the lender to prepare you a letter indicating the amount in which you have prequalified. You should share with your real-estate agent. This letter gives you the bargaining power of a serious home buyer.