Everything you need to get the strongest pre-approval possible, in the right order.
Getting pre-approved is the single most important step before you ever look at a house.
A real pre-approval (not a 5-minute pre-qualification) is your golden ticket in today’s market: sellers and agents treat you like a cash buyer, you know your exact budget, and you lock in leverage when rates drop.Follow this exact sequence (most people skip steps 4–8 and end up with weak or expired letters).
Step 1: Timing – When to Start (2–4 Months Before Shopping)
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- Start 90–120 days before you want to make offers.
- Credit inquiries older than 90 days usually don’t hurt your score further (all mortgage pulls within a 14-45-day window count as one inquiry).
- Gives you time to fix anything that pops up.
Step 2: Gather Your Documents (The Full Package)
Have these files ready (PDF format) in one folder labeled “2025[MonthDay]Pre-Approval[Your Name]”
| Document | Details / Tips | How Recent? |
| Last 2 paystubs | Must show YTD income | <30 days |
| Last 2 years W-2s | All jobs | N/A |
| Last 2 years tax returns | All pages + schedules (1040, Schedule 1, C, E, etc.) | 2023 & 2024 |
| Last 2 months bank statements | ALL pages (even blank ones) — no “online summaries” | <60 days |
| Asset statements | 401k, IRA, brokerage, crypto, etc. (for reserves/down payment source) | <60 days |
| ID | Driver’s license + SSN card or passport | Current |
| Rent verification | 12 months canceled checks OR letter from landlord | Last 12 months |
| Explanation letters | For any credit dings, late payments, job gaps, etc. | Signed & dated |
| Gift letter (if using gift funds) | Exact template required by lender | Signed by donor |
✅Kentucky Tom Pro Tip: Name every file clearly. Examples: “2024_W2_Amazon.pdf”, “2025October_Chase Checking_All Pages.pdf”
Step 3: Check & Boost Your Credit (Do This First)
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- Pull free reports at AnnualCreditReport.com (all 3 bureaus).
- Unfreeze Experian, Equifax, TransUnion security freezes temporarily so lenders can access your credit ratings.
- Target middle score ≥740 for best rates; 660 minimum for conventional, 580 for FHA.
- Pay down revolving balances below 30% (ideally <10%). Do NOT close cards.
- Dispute anything wrong immediately: It takes 30-60 days to remove.
Step 4: Choose the Right Lenders to Shop (3-5 Total)
Shop these in a 14-day window so it counts as one inquiry.
| Type | Who to Contact (2025 Recommendations) | Why Include Them |
| Local mortgage broker | 2 experienced brokers (check reviews >4.8) | Access to 30-50 lenders, often best rates |
| Direct lender #1 | Rocket Mortgage or Better Mortgage | Fast, online, great for W-2 borrowers |
| Direct lender #2 | Chase or local credit union | Relationship discounts, manual underwriting |
| Portfolio / niche | Angel Oak (self-employed), Northpointe (bank statement loans) | If you have unusual income |
Never stop at one quote. The average borrower who shops 5 lenders saves $76/month for the life of the loan (CFPB 2024 data).
Step 5: Submit Full Applications (Not Just the Online Form)
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- Upload every document on Day 1.
- Ask for a full underwriting pre-approval (not just automated approval).
- Request the worksheet or Loan Estimate (LE) showing:
– Exact interest rate & APR
– Monthly PI + taxes + insurance + MI (if any)
– Cash-to-close breakdown
– Lender credits vs. points options
Step 6: Ask These 9 Questions Before Accepting Any Pre-Approval Letter
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- Is this fully underwritten (credit, income, assets reviewed by a human)?
- How long is the rate lock/float-down option? (60-90 days common)
- What is the maximum seller credit allowed (money the seller gives you at closing to help cover your costs)? (3-6% depending on loan type)
- Can you close in 21-30 days if needed?
- Are there prepayment penalties? (almost never on conventional)
- What is the exact lender fee/total closing costs on the LE?
- If rates drop 0.25-0.50%, what is your “free float-down policy?”
- A free float-down is a lender’s promise that if mortgage rates drop after you lock your rate, they will automatically (or with a tiny fee) give you the lower rate at no extra cost, even though you already locked.
- Will you re-run credit at closing? (some do; avoid new debt!)
- Can you provide the pre-approval letter on demand with custom price limits?
Step 7: Pick the Winner & Get the Final Letter
Tell your chosen lender the exact maximum purchase price you want on the letter (usually round number like $525,000).
Have them issue two versions:
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- One with price & monthly payment (for you)
- One without price (for listing agents — looks stronger)
Step 8: Protect Your Pre-Approval Until Closing
For the next 90–120 days:
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- No new credit applications
- No large deposits without paperwork
- No co-signing loans
- No quitting or changing jobs
- Pay everything on time
- Alert lender immediately if anything changes
2025 Rate & Program Cheat Sheet (as of Nov 2025)
| Program | Min Score | Max DTI | Down Payment | Notes 2025 |
| Conventional | 620 | 50% | 3–5% | Best rates |
| FHA | 580 | 56.9% | 3.5% | Higher MI |
| VA | No min | 60%+ | 0% | Military only |
| USDA | 640 | 41–50% | 0% | Rural areas |
| Jumbo | 700+ | 43% | 10–20% | Loans >$766,550 (most areas) |
For Your Consideration
Do the steps in this exact order and you’ll walk into every offer with the strongest possible pre-approval, the same kind that wins in multiple-offer situations and makes agents take your calls seriously.
✅Kentucky Tom Pro Tip: Start tonight: pull your three credit reports and build that document folder.
In 7-14 days you’ll have multiple Loan Estimates in hand and know your real number, before you ever fall in love with a house you can’t actually afford.
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