Let’s talk about getting preapproved — not to be confused with “prequalified,” which is basically just vibes and a napkin estimate. Preapproval is the real deal.
Why it matters:
You wouldn’t walk into a poker game without chips. Same goes for buying a house. Preapproval tells sellers you’re legit, ready, and able to close. It also let’s me say “hey here’s the loans you qualify for” with absolute certainty vs. a wish and a prayer.
Is preapproval hard? Nah. There’s some work on your part in the beginning but generally if we do that upfront the rest is smooth sailing. Generally we need these docs at time of preapproval but every situation is different so this is just a starting point:
– Pay stubs (covering 30 days) and W-2s (for the last 2 years)
– Bank statements (for the last 2 months)
– Credit check
– Any side hustle income, retirement, self-employment then we may need tax returns for the last two years.
-Own other real estate – we will probably have to document that
What you get in return:
– Your max purchase price based on “real” numbers (not some weird online calculator).
– Monthly payment estimate with “real” numbers
– A letter that says “I’m ready to buy — let’s go!”
