Based on how much you qualify for, your lender can guide you through different lending scenarios where you can estimate and compare your monthly mortgage payments for various purchase prices. This is important for budgeting your finances as you consider how purchasing your new home will change your monthly expenses and lifestyle. Our mortgage calculator can help you begin to compare mortgage scenarios and understand how different factors can affect your monthly payments.

Another benefit of mortgage pre-approval is you can begin shopping for homes with confidence knowing that you have your financing in order. Your maximum mortgage amount can help you decide on what type of homes you’ll look for because you’ll know what price range to stay in. Mortgage pre-approval allows you to act fast when you find something you love and make an offer that is more likely to be accepted since you already have financing approval from a lender. As you get into the home-buying process, make sure you consider the other costs to purchase a home beyond the mortgage. You may need some wiggle room in your budget to account for closing costs.

Once you are pre-approved, it’s important to remember that lenders will verify your financial stability before issuing your final mortgage. Additionally, will assess the property that the mortgage is against to ensure it meets any lending or security guidelines. While you’re in the pre-approval period, it’s best to avoid large purchases, applying for new loans or credit, or changing jobs. Big changes like these can impact your financial situation and affect your mortgage pre-approval. Maintaining your finances will allow you to avoid any unexpected surprises when it comes time to qualify for your final mortgage.

Before meeting with a lender to get mortgage pre-approval, you’ll need to prepare some personal information to help them assess your financial situation. Download the checklist below to see what to bring to your first meeting.