Pre-approval and Credit

[Joseph Sewell]

Hello! I am a new future investor and am currently gathering funds, and as much knowledge as I can!

The answer to this question may be obvious, but this is all new to me.

Does getting pre-approved for financing by a bank or other lender affect your credit score?

[Brooke Noth]

Good morning Joseph! Yes, it will be a hard pull, so it can affect your credit. You do have a shopping window where you can look for the mortgage that best fits your needs. Per the CFPB, "Within a 45-day window, multiple credit checks from mortgage lenders are recorded on your credit report as a single inquiry." 

Here's some additional information from the CFPB that you may find helpful:

https://www.consumerfinance.gov/ask-cfpb/what-exactly-happens-when-a-mortgage-lender-checks-my-credit-en-2005/

Good luck on your search and let me know if I can be of further assistance. 

-Brooke