Pre-qualification vs. pre-approval — they are not the same
A pre-qualification is an estimate based on what you tell a lender — no documents, no credit pull, no underwriting. It takes five minutes and carries roughly five minutes of weight with a listing agent.
A pre-approval is a verified statement: the lender has pulled credit, reviewed income and asset documents, and is prepared to lend a specific amount. When our team issues a pre-approval, it means a professional has actually examined your file. Listing agents in the Twin Cities know the difference, and in a multiple-offer situation, it shows.
What you'll need
The document list is shorter than most people fear. For a typical W-2 employee:
- Recent pay stubs (usually the last 30 days)
- W-2s for the last two years
- Recent bank and asset statements (typically two months)
- A government-issued ID
- Self-employed? Add two years of tax returns — and talk to us early, because how your income is documented matters.
What a pre-approval tells you
Your maximum purchase price — the ceiling a lender will support. Your comfortable purchase price — the payment that actually fits your life, which is a different (and more important) number. And your loan program options — conventional, FHA, VA, USDA, or a state assistance program, each with different down payment and monthly math.
A good pre-approval conversation covers all three. If a lender only hands you a maximum number, you're getting a sales pitch, not advice.
How long it takes, how long it lasts
With documents in hand, our team typically turns pre-approvals around fast — often within a business day. The letter is generally good for 60–90 days and refreshes easily if your search runs longer.
One more thing: getting pre-approved involves a credit inquiry, but rate-shopping windows in credit scoring models mean multiple mortgage inquiries in a short period are treated as one. Don't let inquiry fear stop you from getting real numbers.
The mistakes to avoid between pre-approval and closing
Your file is re-verified before closing. Between pre-approval and keys:
- Don't open new credit cards or finance furniture, appliances, or a car
- Don't change jobs without talking to us first
- Don't move large sums of money around without documentation
- Don't co-sign anything for anyone
- Do keep paying everything on time, and call us before any big financial move — a two-minute call prevents a two-week delay
Quick answers
Does pre-approval cost anything?
No. Getting pre-approved with our team is free and carries no obligation.
Will pre-approval hurt my credit score?
A mortgage credit inquiry has a small, temporary effect, and multiple mortgage inquiries within a shopping window are scored as one. The information advantage is worth far more than a few points.