Unlike credit pre-approval, pre-qualification is not necessary to purchase a home. You can avoid this process if you are certain that you have good credit history, you have made a decision, and can invest in a property.

Pre-Qualification: based on a superficial analysis of your credit history, income, and expenses, it will give you an idea of which type of mortgage loan you are eligible for. To obtain pre-qualification you must submit information about your income, properties, and debts to a financial entity or a Real Estate agency; you can obtain it faster by requesting it by phone, Internet, or personally. This process is free and does not require you to commit to the loan request. Keep in mind that when buying a home, a buyer with a letter of pre-approval has a great advantage over one with a letter of pre-qualification.

Many people believe that living the “American Dream” means owning a home. Becoming a homeowner requires more than financial stability; find out about all the expenses that come with the purchase of a home. The following are the most common:

1.- Pre-Approval: The process in which a loan entity will closely check your credit history, employment, bank accounts, stock, mutual funds, other income, and debts. Pre-approval charges vary depending on the loan officer, but are usually between $35 and $100. Some financial entities provide this service at no cost.