TL;DR
Pre-qualification is a casual estimate based on info YOU verbally provide — no documentation, no credit pull, no guarantee. Pre-approval is a verified analysis: credit pulled, income documented, assets confirmed. In the 2026 Michigan market, sellers reject pre-qualification almost universally. Get pre-approved before you tour a single home.
Pre-Qualification
Pre-qualification is a self-reported estimate: no documentation required, no credit pull, no commitment. Takes 10 minutes by phone. Sellers do not take pre-qualification seriously in 2026.
Pre-Approval
Pre-approval is a documented, verified analysis:
- Full mortgage application completed
- Credit hard-pulled and reviewed
- Pay stubs, W-2s, tax returns, bank statements collected
- Income, assets, and debts verified
- Conditional commitment from the lender
A pre-approval letter is what sellers expect. It signals you’re a real buyer.
The “Underwritten” Pre-Approval (Even Stronger)
The strongest form is an “underwritten” pre-approval — the lender has run your file through underwriting before you found a house. With this, you can sometimes close in 14–18 days instead of 35. In a multiple-offer situation, an underwritten approval can win you the bid over a higher offer with a standard pre-approval.
Documents You’ll Need
- 30 days of recent pay stubs
- Two months of bank statements (all accounts)
- Two years of W-2s
- Two years of tax returns (especially if self-employed)
- Photo ID
- Authorization to pull credit
Frequently Asked Questions
What is the difference between pre-qualification and pre-approval?
Pre-qualification is an unverified estimate based on self-reported info. Pre-approval is a documented analysis with credit, income, and assets verified by the lender.
Is a pre-approval a guarantee of a loan?
No — a pre-approval is a conditional commitment. It can be revoked if your income changes, credit drops, or new debt appears between pre-approval and closing.
Does pre-approval hurt my credit?
A pre-approval requires a hard credit pull, which can lower your score by 2–5 points temporarily. Multiple mortgage pulls within 14–45 days count as one inquiry.
How long does a pre-approval letter last?
Most pre-approval letters are valid 60–90 days. After that, the lender updates pay stubs and re-issues.
Can I get pre-approved by multiple lenders?
Yes — shopping 2–3 lenders is recommended. Credit scoring treats mortgage inquiries within a 14–45 day window as a single inquiry.
What credit score do I need for a pre-approval?
Minimums vary: 580 for FHA, 620 for conventional, no minimum for VA. Higher scores get better rates.
Ready to Get Pre-Approved?
We work with local lenders who turn pre-approvals around in 24–48 hours. Fill out our contact form or text 734-977-1405.
Chris Bujaki with The Saward Team, brokered by eXp Realty