Mortgage Pre-Qualification

Let Bethpage be your first stop in the home-buying process, so you can shop with confidence. It's important to know your mortgage options and how much you are able to borrow before searching for your house. Learn how to meet the minimum requirements to get prequalified or preapproved for a mortgage loan. Find out how much you can borrow, prove your creditworthiness to a lender, and purchase your dream home faster.

What is Pre-Qualification, and why is it so important?

informal estimate

An informal estimate for how much a buyer can borrow

Assure agent and buyer

Confirms to the agent and seller that you are financially aligned with the price range

smoother quicker process

Smoother and quicker process for buying a new home

What is the difference between Pre-Qualification and Pre-Approval?

Prequalification and preapproval letters both specify how much a lender, like Bethpage, is willing to lend to you, up to a certain amount and based on certain assumptions. A prequalification is based on a borrower’s self-reported financial information which may result in a letter being issued outlining how much the lender is willing to lend, up to a specified amount.

A preapproval letter is based on a comprehensive analysis of your creditworthiness, and may result in a written commitment, valid for a designated period of time to extend a home purchase loan up to a specified amount.

These letters provide useful information about your likelihood of getting a loan and will provide what is needed to begin house-hunting with confidence.

Pre-Qualification
No obligation
Free
Quick process
No documentation needed
Informal and self-reported
Pre-Approval
Formal commitment
May be a cost for the pre-approval letter
Lengthy review process
Documentation required
Lender must verify your financial information

The benefits of getting pre-qualified.

When prospective buyers find a house they like, the first thing the seller wants to know is if the buyer can realistically afford the cost. When sellers aren’t sure if the buyers have sufficient resources, they sell to another buyer who does. So, being able to prove to a seller that you can qualify for the right mortgage amount can make the difference between getting your dream home or losing out. This is where the process of pre-qualification can make buying a home easier.

And, since pre-qualification also helps homebuyers understand how much they can reasonably afford to pay for a home, they can stay within the right price range during house-hunting, and they are more likely to be approved for their mortgage once they find their house.

What you need to get pre-qualified for a mortgage.

In order to get pre-qualified, a prospective homebuyer will provide some information such as:

  • Borrower Information: These are the basics about the applicants, including, but not limited to: Name, address, Social Security number, date of birth, marital status, dependent information, and current address.
  • Assets: Providing asset account (such as savings accounts, checking accounts) information will help determine the source of down payment, closing costs and additional funds needed in the event of a financial emergency.
  • Employment and income: Providing your income and employment history is basic information you will need to obtain a pre-qualification. Income sources and their history will help determine what mortgage you can afford and your ability to pay it back.
  • Liabilities: Include outstanding debts, such as credit card balances, installment loans (i.e., car loans or student loans) monthly alimony and child support, including the payment amount, balance owed and whom it is owed to.
  • Declarations: Here you will confirm whether your financial history includes outstanding judgments, a bankruptcy, foreclosure or lawsuits.