Pre-Qualified Versus Pre-Approved

The Difference Between a Pre-Qualification vs. Pre Approval

 There is plenty of real estate terms used in transactions. Needless-to-say it can be confusing for both buyers and sellers trying to navigate the process. The home loan process might feel overwhelming and difficult to understand. Both buyers and sellers find terms like “PreQualification” and “Pre-Approval” used interchangeably, it’s no wonder they find themselves wondering how to proceed. 

 Pre-Qualification-The first step in obtaining a home loan is to meet with a lender and discussing their financial situation. The lender will discuss income, job stability, debt and credit. Once they have performed a basic review of the qualifications and run credit, they will issue a Pre-Qualification Letter to the potential buyer. This letter will identify the maximum sales price, down payment requirement and basic terms of the loan, such as interest rate.  The Pre-Qualification letter is used to provide evidence that the buyer has been reviewed by a lender who is vouching for their ability to obtain a loan. Because it's a quick procedure - and based only on the information you provide to the lender - your pre-qualified amount is not a sure thing; it's just the amount for which you might expect to be approved. As a result, being a prequalified buyer doesn't carry the same weight as being a pre-approved buyer, who has been more thoroughly investigated.  

Pre-Approval- A Pre-Approval is quite different. Getting pre-approved is the next step, sand it tends to be much more involved. A pre-qualification should be a good indication of credit and the ability to borrow, but a pre-approval is the definitive word. In this case, the lender collects all the necessary information and proof of eligibility and has it reviewed by the lender underwriter for approval. A PreApproval letter is almost like shopping with cash, the only remaining piece of the puzzle is the property they are buying.

Finding the right agent and mortgage lender is key to getting the correct information and starting your home buying process a lot smoother. Contact me to find out more or if you have questions. 

Top 7 DIY Winter Projects

Top 7 DIY Winter Projects

Winter months bring cold days and long nights. While you wait for the weather to warm up so you can get out into the garden, there are still plenty of great DIY projects to tackle, even in the winter. 

Here are 7 terrific ideas for the Do it Yourselfer in you. 

 1. Paint Your Walls – Paint an accent wall or an entire room with a fresh color. In the winter when it's cloudy for days a little visual stimulation can help. Create some color to your indoor space, make sure you open windows to let in fresh air or use low VOC paint so you don't have to worry about breathing in fumes. 

 2. Declutter – Sure this sounds like a fancy name for house cleaning, but decluttering is more than that. Remove excess furnishings to make your rooms seem larger and more inviting. During the summer you are going to want to be outside soaking up the sun not inside cleaning up the basement. Winter is a perfect time to get organized, it's why January is called "organization month". Try to take time every week to decluttering in general and getting organized each week.

 3. Update Your Kitchen –A new backsplash or cabinet pulls can quickly change the look and feel of your kitchen. Whether you are getting your home ready to list this spring or just looking for a new look the kitchen remodel/update is always a sure way of adding value to your home. 

  4. Add Insulation – While this doesn't sound exciting but it will when it reduces your energy bill costs each month. It  will provide instant satisfaction as those cold, drafty rooms feel warm and cozy. If you can see the floor joists then you need more insulation. If you have some real skill, you can include changing out old windows or doors as well. 

 5. Smarten Up – This is a great time to automate your home with Smart devices. Add security cameras, a smart thermostat or smart lights and plugs.

  6. Build Something – For the handy, winter months are a great time to add cabinets, a TV hutch or bookshelves to your home. 

 7. Re-Grout Your Tile – From kitchen counters to floors, re-grouting can freshen up the room. 


It is easy to get cabin fever this time of year. We are all going through it. Working on a home project is a great way to keep yourself active, add value to your home, and improve your living space. It's a win-win.