Pre-qualified vs. Pre-approved: Which Can Be Better?
It’s definitely time to talk to a lender when you’re ready to move past the online perusal stage of house hunting onto actually seeing homes and (gasp! ) possibly bidding. Loan providers could possibly get you pre-qualified or pre-approved for home financing. But what’s the difference between your two? And exactly how did you know what type to choose? Danielle Pennington, that loan officer at BestWay Mortgages, provides great break down of each choice, along with suggestions about what type to pursue. (Spoiler alert: One is preferable to one other! )
What’s the essential difference between Pre-qualification and Pre-approval?
In accordance with Pennington: “A pre-qualification is founded on information you verbally provide a loan provider and it is an estimate that is rough of much you really can afford.