Scott Kepler
NMLS #833792
(813) 444-8537

Pre-Qualification VS. Pre-Approval – What’s The Difference?

Congratulations on making the decision to become a homeowner. Once you take the plunge into homeownership, you will immediately notice all the added benefits, such as tax deductions, more privacy, and artistic freedom. But before you can start enjoying these benefits, you need to begin the application process for a Tampa home loan. This starts with getting pre-qualified and pre-approved.

So, to help you get started on the home buying process, your local lenders with the Scott Kepler Mortgage Team has listed the main differences between a mortgage pre-approval and a pre-qualification.

What Is A Pre-Qualification?

Getting pre-qualified is loosely referred to as the first basic step in the mortgage process. Your Tampa mortgage lender will briefly review your finances and let you know what types of mortgage options you could qualify for. This is not an in-depth process and can even be done online.

What Is A Pre-Approval?

The pre-approval process is far more detailed than getting pre-qualified. You will submit all of your financial documentation to your lender and they will extensively review it and run a credit check on your finances. They will be able to accurately tell you what your affordability is, which will let you know what price to shop in when viewing different properties.

Getting pre-approved will also give you more credibility when working with real estate agents and different sellers. Most real estate agents will refuse to work with buyers who have not been pre-approved because they want to be sure that their clients are serious about becoming a homeowner. You gain more credibility with seller’s because it lets them know that you are financially responsible enough to purchase a home and can afford to make monthly mortgage payments.

It is also worth noting that if you go through the pre-approval process and are interested in working with a different mortgage broker in Tampa, you have no financial obligation to stay with the person who pre-approved you. Instead, you can shop around to find your best fit.

Contact Us

If you would like to receive more information on the pre-qualification and pre-approval process, or if you are interested in starting your application for a home loan, please contact the Scott Kepler Mortgage Team at 813-444-8537.