Know the Difference Between Lending Approvals?

[Ralph DiBugnara]

Before buying a home, or even start visiting open houses, you'll need a preapproval. a pre-approval or a pre-qualification is a position stating how ready you are to buy a home. However, there are different types of it.

-A prequalification happens when you provide financial data and, in return, you get an idea of how much you can afford.

-A preapproval happens when you submit all of your documents to a lender and your credit is pulled.

-A TBD approval is the strongest method to get your offer approved. This happens when your application has been through underwriting. It is just as close as it gets to a cash offer!