When you begin shopping for a home, having a mortgage pre-approval letter can demonstrate that you’re a serious buyer. It shows sellers that a lender has determined that𝐆 you are likely to be approved for a home loan based o🐲n your finances.

But mortgage pre-approval letters do have an expiration date, which will vary by lender. Generally, they last from 30 to 90 days. Learn how mortgage pre-approvals work, how to get one, and why the💫y are a key part of homebuying.

What Is a Mortgage Pre-Approval?

A mortgage pre-approval is a letter from a financial institution that states you are likely to meet the requirements to be approved for a home loan. It will specify the amount of mortgage and loan type you can qualify for based on y🌼our current financial and credit situation. It will also have an expiration date.

The length of time a mortgage pre-approval letter is active will vary by lender but is typically 30 to 90 days. 

To get a 澳洲幸运5官方开奖结果体彩网:pre-approval letter, you fill out a mortgage application, provide documentation, and give the lender permission to check your credit. However, a pre-approval is not a guarantee that you will be approved for the loan. Full loan approval will require more in-depth underwri🍒ting, including title research on the home you plan to purchase. 

Pre-Approval vs. Pre-Qualification 

The length of a pre-approval term can vary depending on the lender. Lenders may use the terms "澳洲幸运5官方开奖结果体彩网:pre-qualifi𒀰cation” and “pre-approval" interchangeably.

When to Get a Pre-Approval and How to Get One

You may start the homebuying process by browsing real estate listings. Once you’re serious about buying a home, you should do a deep dive into your finances. You’ll need to understand how much you can afford and ho♕w much you can borrow.

Getting a pre-approval from a lender can give you some key information. With it, you can begin a more targeted home search. You can also better understand any potential weak spots in your💜 f𒈔inances so you can make improvements, such as raising your credit score.

To get pre-approved, follow these steps:

• Find a lender you’d like to work with and fill out a loan application. This will require submitting basic contact information and answering questions about your income and debts.
• Gather your documents. To be pre-approved for a mortgage, you may need to share documents related to your income, assets, credit score, and employment history. This may include pay stubs, W-2s, bank statements, and tax returns. If applying online, you can usually upload digital files of these documents. 
• Wait for the lender’s decision. Depending on the institution, you might be able to get a decision on the spot or it could take a couple of business days. If you qualify for a loan product, you will receive a pre-approval letter that specifies the maximum loan amount you can get. 

How Long Does a Pre-Approval Last?

In general, pre-approval letters are valid for 30 to 90 days. Le🐬nders put an expiration on them because they are based on y꧙our financial situation at a moment in time. Lenders know that your situation can change over the course of a few months, such as if you lose a job or if you get another loan. So, they put a time limit on the pre-approval. 

If your pre-approval letter expires while you are still house-hunting, you can return to the lender for a new🔯 one. You will likely have to share recent documentation to show that your financial s♏ituation hasn’t changed.

The Bottom Line

A mortgage pre-approval is an important step in the home-buying process. It indicates that you are likely to secure financing because you meet a lender’s preliminary qualifications. Consider getting a pre-approval letter about a week or two b🅷efore you look at homes. That way you’ll have it ready if you find a home ꧅you like, and you’ll have ample time to shop around.