Why Mortgage Pre-approval Should Be Your First Step Toward Homeownership

Are you planning to buy a home soon – or maybe you’re just starting to explore the idea? Whether you’re actively house-hunting or simply preparing for the future, one of the smartest moves you can make early on is understanding the mortgage pre-approval process.

At Legacy Mutual Mortgage, we believe in setting our clients up for success right from the start. If you’re serious about buying a home, getting pre-approved isn’t just a helpful step in the homebuying process – it’s a powerful advantage.

Pre-approval vs. Pre-qualification: What’s the Difference?

You’ll often hear the terms pre-qualification and pre-approval used interchangeably, but they’re not quite the same. The main distinction is that pre-qualification offers a general estimate of what you might be able to borrow based on self-reported information, while pre-approval goes a step further by requiring documentation and pulling your credit report to give a more accurate picture of your buying power.

Because it’s more comprehensive, a pre-approval letter is a sure sign to sellers that you’re ready to buy – which can make all the difference in a competitive market. Just keep in mind that pre-approval letters typically expire within 60–90 days, so it’s best to move forward once you’re ready to buy.

Why Pre-approval Matters

Getting pre-approved might feel like an extra step, but it shows sellers and agents that you’re a serious, qualified buyer. It also gives you:

  • A competitive edge over other buyers who aren’t preapproved
  • A clear understanding of your budget, so you can focus only on homes within your price range
  • A head start on closing, since much of the paperwork and verification is already complete

Pre-approval helps streamline the homebuying process and can save you time, stress, and potential disappointment.

What You’ll Need for Pre-approval

To get started, be prepared to provide your lender with:

  • Proof of income (pay stubs, W-2s, tax returns)
  • Asset documentation (bank and investment account statements)
  • Employment verification
  • Valid government-issued ID
  • Social Security number
  • Your residential history for the past 2 years

While pre-approval doesn’t guarantee your loan will undoubtedly be accepted, it’s a strong first step – one that gives you confidence and clarity throughout your homebuying journey.

Ready to take the next step? Let’s talk! Reach out today and we’ll walk you through the process, answer your questions, and help you find the loan solution that fits your needs.