Mortgage preapproval
- Get started in minutes with no impact to your credit
- Down payments as low as 3%
- No commitment necessary
What is a mortgage preapproval?
A mortgage preapproval is a written estimate from a lender that explains how much you may be able to borrow to buy a home, based on a review of your income, assets and credit. Unlike a prequalification, which is typically a quick and informal estimate, a preapproval involves a more thorough evaluation of your finances, giving sellers greater confidence that you are a serious buyer.
Benefits of a mortgage preapproval
- Offer clarity on your budget and how much you can comfortably afford
- Enable you to shop with more confidence and show sellers you’re a serious buyer
- Minimize the risk of offer and loan rejection
- Spotlight potential challenges earlier
- Prepare a faster track to closing
How to apply for a mortgage preapproval with Chase
Step One
Answer a few questions about yourself, your mortgage needs and your finances, with no impact to your credit score.
Step Two
After submitting your preapproval, we’ll connect you with a Home Lending Advisor to discuss your customized preapproval, with no commitment necessary.
Step Three
Once you have your digital preapproval letter, you can start making offers with a competitive advantage.
Why choose Chase for your mortgage preapproval?
- On time closing or get $5,000, if you qualify
- Rate discounts up to 1%
- Down payments as low as 3%
- Homebuyer grants up to $5,000, if you qualify
- On average, homebuyers save more in mortgage fees with Chase compared to a non-bank
Mortgage preapproval FAQs
Since preapproval letters are only valid for one or two months, it’s recommended to obtain the preapproval prior to submitting an offer, but not too far out from when you plan to submit.
A mortgage preapproval typically lasts between 30 and 60 days, but may depend on the loan provider. Changes in the housing market or lender policies could also impact the duration of your preapproval. The general length is based on timely factors that affect mortgage loan terms, like changes in the borrower’s financial situation, interest rate fluctuations and real estate market conditions.
To get preapproved for a mortgage, loan providers will typically ask you to submit documentation to help verify your financial information. Commonly requested documents may include:
- Proof of identity (driver’s license or passport)
- Proof of income (recent pay stubs or W-2 statements)
- Proof of assets (bank statements, investment account summaries or retirement accounts)
- Proof of debts and expenses (loan statements, credit card bills or rent payments)
- Estimated down payment amount and the source of the money
These two terms are often used interchangeably. The main differences between a mortgage preapproval and a mortgage prequalification are:
- The purpose of each
- What you need to provide for each
- How much weight they hold in the mortgage application process
Both preapproval and prequalification offer the same result of being conditionally approved for a loan, with an estimate of what interest rate and loan amount you may qualify for. However, prequalification is usually a simple snapshot of your financial situation and potential borrowing ability, while a preapproval is an actual step toward securing a mortgage and is, therefore, more valuable to sellers.
Chase only offers mortgage preapproval, which is as close as you can get to establishing your creditworthiness prior to the purchase contract. It's a more detailed examination of your financial background, including a thorough check of your credit report, proof of income and assets.
While preapproval does involve a credit check, its impact on your credit score is usually small and temporary.
Let us be your guide
Connect with a local Home Lending Advisor to help you every step of the way.
