Prequalified vs. Preapproved

A lot of times when dealing with potential clients I've noticed that some aren't really sure of the difference between being prequalified vs preapproved.

Is there a difference you ask? Why yes there is and I'm going to break it down for you just keep scrolling.

Being prequalified for a home doesn't mean that you'll actually be able to obtain a loan. Being prequalified just basically means that you spoke with a lender and gave them an estimate of what your credit and income are. The lender is only going based solely on information you provided.

When you've been preapproved, the lender has done a thorough investigation into your finances. This includes verification of income, assets and credit rating. Once you're preapproved, it guarantees you'll be able to obtain a loan in the event your finances don't change. Please note: lenders may run your credit and verify your finances throughout the home buying process to ensure that nothing changes and that you'll be able to repay the loan.

Housewarming Gifts You Never Knew You Needed

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Ready to get started with the home buying process? Let's get you preapproved. Schedule your buyer consultation here.