Pre-approval is the thing most buyers put off until they've already found a house they like. That's backwards. Until a lender has actually reviewed your income, credit, and documents, you don't know what you can really afford, and sellers know it too. An offer without a real pre-approval behind it gets treated differently than one that has it.
Here's what that actually means, what gets asked for, and how to get through it without surprises.
Pre-Qualification vs. Pre-Approval
A pre-qualification is a quick estimate based on what you tell a lender, no documents required. It's a rough number, not a commitment. A pre-approval means a lender has actually pulled your credit and reviewed real documentation. It carries weight with a seller. If you're serious about buying, pre-qualification isn't enough.
What a Lender Will Ask For
The exact list varies by lender and loan type, but most pre-approvals need some version of the following.
Income & Employment
- Recent pay stubs, usually covering the last 30 days
- W-2s from the past two years
- Tax returns from the past two years, especially if you're self-employed or have additional income sources
- Written or verbal employment verification from your employer
Assets & Credit
- Bank statements, typically the last two months, for every account you'll draw from
- A credit check run directly by the lender
- Documentation for any large deposits that aren't your normal income
- A government-issued photo ID
If Your Situation Is a Little Different
Not every buyer's paperwork looks like a standard two-income household with one steady job. A few situations that need extra documentation:
- Relocating for work or with a new job offer: an offer letter, and sometimes proof of a start date, since lenders want to see income continuity
- Retired or living on Social Security or a pension: award letters or statements showing the income is ongoing, not just bank deposits
- Self-employed or 1099: typically two full years of tax returns and sometimes a year-to-date profit and loss statement
- Selling a home to fund part of the purchase: a lender may want to see that sale under contract or closed, depending on timing
None of this disqualifies you. It just means the conversation with your lender starts a little earlier, so there's time to gather what's needed.
How Long a Pre-Approval Actually Lasts
Most pre-approval letters are good for 60 to 90 days, though it varies by lender. Once it expires, or if your financial picture changes, your lender re-checks your credit and documentation before you can use it again. If your search is taking longer than expected, ask your lender when it needs to be refreshed rather than assuming it's still good.
What Can Derail a Pre-Approval After You Have One
Getting pre-approved isn't the finish line. Lenders can and do re-verify things right up until closing, and a few common moves can put your approval at risk after the fact.
- Opening a new credit card or line of credit
- Financing a car or large purchase before closing
- Changing jobs, even for a raise, without talking to your lender first
- Large unexplained deposits into your bank account
- Co-signing a loan for someone else
None of these are permanently off-limits, but the timing matters. If something like this is coming up, mention it to your lender before it happens, not after.
Ready to Get Pre-Approved?
I work with lenders who handle straightforward situations and complicated ones, relocation, self-employment, retirement income, all of it. Reach out and I can point you toward the right fit.
Get Connected With a LenderPre-Approval FAQ
Does getting pre-approved hurt my credit score?
A lender pulling your credit for pre-approval is a hard inquiry, which can cause a small, temporary dip. Multiple mortgage inquiries within a short window (typically 14 to 45 days depending on the credit model) are usually counted as a single inquiry, so shopping a few lenders in that window won't multiply the impact.
Can I get pre-approved before I've found a house?
Yes, and you should. Pre-approval is meant to happen before you're seriously touring homes, not after. It tells you your real budget and makes your eventual offer something a seller takes seriously.
What if my pre-approval amount is lower than I expected?
It's worth asking your lender why, specifically. Sometimes it's debt-to-income ratio, sometimes it's credit, sometimes it's just conservative underwriting on their end. A second lender occasionally sees your file differently, but understanding the "why" first helps more than just shopping around blind.
Is pre-approval the same as a loan commitment?
No. Pre-approval means a lender believes you're qualified based on what they've reviewed so far. A full loan commitment comes later in the process, after the home is under contract, the appraisal is in, and full underwriting is complete.