Financing

Mortgage preapproval, decoded.

Pre-approval is the foundation of a winning offer. Learn exactly what documents you need, how credit pulls work, how long letters stay valid, and how buyer-agent specialists connect you with lenders who close on time — every time.

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01

Document checklist: W-2s, 1099s, bank statements, tax returns, and self-employed profit-and-loss prep.

02

Credit strategy: rate-shop windows, score optimization, and avoiding pre-approval killers before closing.

03

Loan type matching: conventional, FHA, VA, USDA, DPA programs, and bank-statement loans for non-W-2 earners.

04

Letter strength: automated underwriting pre-approvals vs. manual review for complex income structures.

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Frequently asked questions

What documents do I need for mortgage pre-approval?
Typically: last two years of W-2s or 1099s, recent pay stubs, two months of bank statements, tax returns, ID, and authorization to pull credit. Self-employed buyers need profit-and-loss statements and sometimes two years of business returns.
How is pre-approval different from pre-qualification?
Pre-qualification is an estimate based on self-reported numbers. Pre-approval involves verified income, assets, and credit check — producing a formal letter sellers trust. In competitive markets, pre-approval is non-negotiable.
Will pre-approval hurt my credit score?
A mortgage credit pull counts as a single inquiry if you shop lenders within a 14-45 day window, depending on the scoring model. Multiple pre-approval applications in that window have minimal impact. Your buyer agent can recommend lender-shopping timing.
How long is a pre-approval letter valid?
Usually 60-90 days. If it expires, your lender re-verifies assets and credit. Avoid opening new credit lines, changing jobs, or making large purchases during this period — any of these can invalidate your pre-approval.