What is a mortgage pre-approval?
A mortgage pre-approval is a letter from the lender stating the type of loan and the loan amount you can qualify for. The pre-approval letter is issued after the lender has evaluated your financial history including your credit report and score.
Getting pre-approved for a mortgage helps you shop for homes you can afford and shows you are a serious, prepared and ready buyer.
It also helps you to find a mortgage broker that can work with you to select a mortgage loan with an interest rate and terms best suited to your needs.