Upgrade Approve Letter

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Although, to a typical consumer, “you're pre-approved” means “you already passed the approval process and therefore are guaranteed to be immediately granted the loan if you apply,” the literal meaning is different. This pre-approval can then help a buyer find a home that is within their loan amount range.
When you get pre-approved by a mortgage lender, they will start gathering a variety of financial documents. But the pre-approval is not a guarantee. Therefore, it's possible to be denied for a mortgage even after you've been pre-approved.
Being pre-approved means you've actually been approved by a lender for a specific loan amount. Unlike getting pre-qualified, when getting pre-approved, you provide documented financial information (pay stubs, statements, obligations, credit report, etc.) to be reviewed and verified by the lender.
If you're granted a pre-approved mortgage loan, the lender gives you a pre-approval letter, which says your loan will be approved once you make a purchase offer on a home and submit the following documents: the purchase contract, preliminary title information, appraisal and your income and asset documentation.
Inquiries for pre-approved offers do not affect your credit score unless you actually follow through and apply. A pre-approval basically means that the lender thinks you have a good chance of being approved based on the information in your credit report, but it is not a guarantee.
A mortgage pre-approval only means a loan officer has looked at your finances your income, debt, assets, and credit history and determined how much money you can borrow, how much you could pay per month, and what your interest rate will be.
Pre-approval is not a commitment to lend you money. Nor is it a guarantee from the lender. It is simply the lender's way of saying they will likely approve you for a certain amount, as long as you clear the underwriting process with all of its checkpoints and requirements.
1 Getting pre-approved for a loan means that you know how much money a lender is willing to give you, at which rate, and on what terms. It's a way to find out what kind of financing you're qualified for before you commit to anything.
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