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Mortgage preapproval: what to ask before buying
A lender conversation can help you prepare for a home search. Understand what the lender has actually reviewed and what still needs to happen.
The label is only a starting point
Lenders can use “prequalification” and “preapproval” differently. Ask what documents and credit information they have checked, what conditions remain, and when the letter expires. Neither letter guarantees a completed loan.
Prepare for the conversation
Ask the lender which income, asset, and other records they need. Share sensitive documents through the lender’s secure process rather than a lead-generation questionnaire.
Set a budget you can live with
Your comfort level may differ from a lender’s maximum. Include property taxes, insurance, maintenance, utilities, association fees, closing costs, and a reserve for the unexpected.
Questions worth asking
- Does this step require a hard credit inquiry?
- What information has been verified?
- Which conditions still need to be met?
- What cash will I need at closing, beyond the down payment?