Why Pre-Approval Matters
- Sets your realistic price range and monthly payment.
- Makes offers stronger-many sellers expect it with your offer.
- Lets you lock a rate window while you shop (ask about lock options).
What to Gather (Typical Checklist)
Income & Employment
- Last 30–60 days of pay stubs
- W-2s (2 years) / 1099s if applicable
- Tax returns (self-employed)
- Employment history/contact info
Assets & Debts
- Bank statements (2–3 months)
- Retirement/investment statements
- Debt statements (loans, cards)
- Gift letter (if receiving funds)
How Lenders Evaluate You
- Credit score & history: Impacts your rate and eligibility.
- DTI (Debt-to-Income): Lower is better; paying down balances can help.
- Down payment & reserves: More reserves = stronger file and options.
- Employment stability: Consistency helps; explain recent changes.
Pro Tips to Streamline Pre-Approval
- Compare quotes from at least 2–3 lenders (APR, not just rate).
- Avoid new credit lines or big purchases until after closing.
- Ask about rate-lock timing and float-down options.
- Have digital copies of docs ready to upload quickly.
*Informational only; not legal, tax, or financial advice.