“A mortgage pre-approval lets you shop smarter and make stronger offers”.

A mortgage pre-approval is a formal commitment from a lender that outlines how much money they will lend you, at what rate, and at what terms. This decision will be based on the financial information you provide, such as your annual earnings, your debts, credit, and down payment amount. The lender will check the borrowers’ credit and verify the documentation to approve a specific loan amount.

In comparison to pre-qualifying, pre-approvals usually involve a more thorough verification of your credit history and documentation. Once a lender has validated your information, they will provide you with a pre-approval letter (that typically comes with a rate hold which usually lasts for 60 to 120 days).


To get pre-qualified, on the other hand, you’ll supply an overview of your financial history to the lender, including your income, assets, and debts. The lender/mortgage agent will then take that unverified information and determine how much you can expect to receive from a lender. There are no guarantees you will actually be approved for that amount, but it can be used as an estimate before looking for a property. A lender will still need to verify your income and ensure what you had mentioned was truthful and accurate.


By obtaining a mortgage pre-approval, you will:

  • Know your borrowing capacity (how much you will be able to borrow)
  • Be able to plan your monthly payments
  • Receive interest rate protection should rates change
  • Be capable of making stronger offers without conditions
  • Have significant negotiating power on a purchase