So, you’re ready to buy a home. Before you can begin looking in earnest, however, you need to get qualified1 for a mortgage. Mortgage loan qualification is what starts the homebuying process. You’ll provide information on your credit, income, assets and debts so PrimeLending can give you an estimate of the size of a loan you can afford. There’s never a charge to get qualified with PrimeLending.

Reasons To Get Mortgage Qualification

  • You’ll save time by only looking at houses within your price range.
  • You can make an offer on the same day you find the perfect home.
  • The seller can expect fewer delays with your offer, making your offer more attractive.
  • Sellers are likely to prefer your offer over a buyer who is not qualified, giving you negotiating power.
  • A real estate agent will move quicker knowing you’re qualified and ready to buy.

Mortgage Approval2 vs Mortgage Qualification

Mortgage qualification is based on initial information you provide on your credit, income, assets, and debts, but the loan has not been approved by an Underwriter. You will receive an estimated dollar amount of the size of loan you can afford. Mortgage approval means there’s been a review of your income, credit and debt information by an underwriter; you become approved after all your information is “verified” and “approved.” Approval is a step above qualification, and it takes a little longer to obtain — A loan approval, gives you more power than a qualification at the bargaining table because sellers know your offer will likely close without trouble or delay. When you’re ready to buy, you’ll also have less paperwork, and your loan will close faster. Try this free mortgage calculator to get an idea of how much you could afford.

What Are The Four Things You Need To Qualify For A Mortgage?

In order to get qualified for a mortgage, we will need to consider a few key financial factors. These include your income, total debt, credit score, and assets.

What Is The Employment Requirement For Getting A Mortgage?

Many mortgage loan programs require proof of two years of employment to be eligible for the program. This doesn’t necessarily have to be two consecutive years at the same place of employment; if you can provide two years’ worth of employment documentation like W-2s, 1099s, or tax returns to prove your income, you will have a greater chance of being approved for the loan. If you cannot provide this documentation, contact your loan officer to discuss other available options.