Getting pre-approved is part of the mortgage lending and home buying process.
You’ll complete an official mortgage application, then supply the lender with the necessary documentation to perform an extensive check on your financial background and current credit rating. From this, the lender can tell you the specific mortgage amount for which you are approved. You’ll also have a better idea of the interest rate you will be charged on the loan and, in some cases, you might be able to lock in a specific rate.
With pre-approval, you will receive a conditional commitment in writing for an exact loan amount, allowing you to look for a home at or below that price level. I encourage all buyers in the L.A. area to have this done before shopping. In almost all cases you’ll need this pre-approval when submitting an offer or provide it within 3 days.