An informal estimate of how much financing a potential borrower might expect to obtain. Completed before the borrower pays substantial loan application fees.
The process that determines your qualification to receive a mortgage loan and the loan's maximum amount.
Informal estimate to determine how much money a purchaser will be eligible to borrow before a loan is applied for.
(a.k.a. pre-qualified loan): When a buyer attends to procuring financing for a new home or property BEFORE the process of purchase begins. If you pre-qualify it can substantially expedite the buying and moving process, and also sometimes allow for a reduced purchase price.
The process of determining before a loan is applied for how much money a prospective home buyer will be eligible to borrow.
a cursory look at a borrower's financial picture, without a commitment from either the borrower or the lender
a discussion between a homebuyer and a loan officer to calculate an estimated mortgage amount for a homebuyer
The process of providing a lender with such financial information including credit rating, employment status, income and outstanding debts so they may calculate a suitable mortgage for the borrower.
The process whereby a broker looks at the information you have presented and renders an opinion as to whether or not he can successfully broker your loan. Contrast with Preapproval.
When a mortgage lender determines how much money they would lend a potential borrower based solely on the financial information disclosed by the potential borrower. The prequalification is not binding and may not be completely accurate. A prequalification is helpful when looking to buy a home.
Determining the amount a buyer is eligible to borrow before a loan application is made
The conditional establishment of a borrower's qualification for a mortgage loan amount and his/her ability to make monthly payments at a certain level. Prequalification is based strictly on debt-to-income ratios and is subject to debt and income verification, credit history, property appraisal and other factors.
the first step in a mortgage application process which reveals how much house one can afford to buy by determining the amount of a mortgage one can qualify for. It is very helpful to have this information when you begin to shop for a home.
The process of determining the maximum loan amount for which a borrower can qualify.
Evaluation of a potential borrower's financial status to determine the size and type of mortgage available to the borrower.
The process of determining how much money prospective home buyers will be eligible to borrow in advance of applying for a mortgage. Many people will be prequalified before ever looking at properties for sale. Often sellers wonâ€(tm)t take offers from non-prequalified buyers.
Prequalifying gives you a general idea of your borrowing power. It is the process of determining how much money you will be eligible to borrow.
The process of determining how much money a prospective borrower will be eligible to borrow prior to applying for a loan. Prequalification does not constitute a commitment or guarantee from a lender to make a loan. Information submitted during prequalification is subject to verification at application.
a process used by a lender or real estate professional to determine how much money a prospective home buyer will be eligible to borrow based on standard qualifying ratios.
This usually refers to the loan officerâ€(tm)s written opinion of the ability of a borrower to qualify for a home loan, after the loan officer has made inquiries about debt, income, and savings. The information provided to the loan officer may have been presented verbally or in the form of documentation, and the loan officer may or may not have reviewed a credit report on the borrower.
A short informal interview with a possible lender who takes into account very basic information regarding your financial status and estimates the loan amount for which you may qualify. Prequalification is usually free of charge.
The process of determining how much money a prospective home buyer will be eligible to borrow prior to the borrower making formal application.
Evaluation of a potential borrower's financial status to determine the size and type of mortgage available to him or her.
Providing financial information (credit ratings, employment status and income, and outstanding debts) to a lender in order to calculate a suitable mortgage for the buyer. Prequalification grants no legal rights, but is helpful in showing how large a mortgage one can handle and, by extension, how much house one can afford.
The process of determining how much money a prospective home buyer will be eligible to borrow before a loan is applied for.
The process of determining the amount a particular lender will let you borrow You should strive to obtain prequalification with at least two or three separate lenders.
Informal estimate of how much financing a potential borrower might expect to obtain. Done before paying substantial loan application fees.
An informal process whereby mortgage brokers, based upon information the potential borrower discloses about their financial situation, provide an opinion about the money they may be able to borrow.
Some lenders "prequalify" mortgage applicants in less than an hour by performing cursory checks. Seldom can a lender fully check an applicant's credit, asset and debt status this quickly, so final approval typically takes at least a few more days. Though such preliminary prequalifications may soon lead to a full preapproval, there is no guarantee until the applicant receives a letter, certificate or wallet-size card bearing the mortgage-holder's name and maximum loan amount.
A process by which a potential home buyer qualifies for a home mortgage before making an offer on a house. A lending institution agrees to make a loan in the specified amount to the person it has prequalified.
The process of determining how much money a prospective home buyer will be eligible to borrow before he or she applies for a loan.
Refers to the process many borrowers choose where they consult a lender about the amount of money they are qualified to borrow before they actually select a home to purchase.
An informal process whereby lenders, based entirely upon the information you disclose about your financial situation, provide an opinion about the amount of money you may be able to borrow. This assessment is neither binding nor necessarily accurate because the lenders haven't verified any of your financial information.
An informal estimate of the "financing potential" of a prospective borrower.
The process of determining how large a loan a prospective homebuyer can qualify for: this procedure is done before actually applying for the loan.
When a lender or broker figures out how much you qualify to borrow. Before shopping for a home, you can save yourself a lot of time by first finding out whether or not you are likely to qualify for the loan you want. Also, you'll also get a rough idea of the price range that you can afford on a home. To do this, a lender or broker will look at your income, debt, assets and credit history. If all goes well, you'll receive a prequalification letter that you can then show Realtors, so they feel confident about investing time and energy in your home search.
The process of determining how much money a prospective home buyer will be eligible to borrow prior to application for a loan.
The process of establishing a borrower's qualification for a loan of a particular amount based on income and expenses
Sharing income, credit and other personal financial information with a lender in order to pre-determine a homebuyer's creditworthiness and the amount that he or she may expect to borrow.
A process used to assess a prospective borrower's ability to pay back a loan. It determines how much money a prospective homebuyer can borrow before an actual application is made.
The first stage of a mortgage application where the lender will run a basic credit report and determine your debt to income ratio in order to see how much mortgage you qualify for.
