pre-approval letter
Mortgage green light
A pre-approval letter is a document from a lender stating that a borrower preliminarily qualifies for a loan up to a specified amount.
In real estate, buyers obtain pre-approval letters before house hunting to demonstrate they can secure financing: The seller won't consider offers without a pre-approval letter.
Pre-approval involves checking credit and income but isn't a final loan commitment.
One who loans money
- borrowerOne who takes temporarily
- underwritingRisk evaluation and acceptance
- creditworthinessAbility to repay debts
- loan officerEvaluates borrowing requests
homebuying · escrow · down payment · closing costs · interest rate · fixed rate · adjustable rate · debt-to-income ratio
State of meeting criteria
- applicationFormal request document
- prequalificationPreliminary eligibility assessment
- credit checkExamination of payment history
- income verificationConfirming stated financial earnings
employment verification · bank statement · pay stubs · tax returns · assets · liabilities · documentation · expiration date
Seeking property to buy
- offerProposal to provide
- purchase agreementBinding document for transactions
- earnest moneyPayment showing serious intent
- real estate agentLicensed property seller
property · appraisal · title search · inspection · listing · bid · contingency · seller
Formal promise of fulfillment
- certaintyTotal absence of doubt
- confidenceSelf-assurance or trust
- reassuranceWords meant to calm
- validationConfirming truth or accuracy
verification · credibility · trust · reliability · security · endorsement · authentication · commitment
lender
One who loans money
- borrowerOne who takes temporarily
- underwritingRisk evaluation and acceptance
- creditworthinessAbility to repay debts
loan officer · homebuying · escrow · down payment · closing costs · interest rate · fixed rate · adjustable rate · debt-to-income ratio · credit score
eligibility
State of meeting criteria
- applicationFormal request document
- prequalificationPreliminary eligibility assessment
- credit checkExamination of payment history
income verification · employment verification · bank statement · pay stubs · tax returns · assets · liabilities · documentation · expiration date · credit history
house-hunting
Seeking property to buy
- offerProposal to provide
- purchase agreementBinding document for transactions
- earnest moneyPayment showing serious intent
real estate agent · property · appraisal · title search · inspection · listing · bid · contingency · seller · buyer
guarantee
Formal promise of fulfillment
- certaintyTotal absence of doubt
- confidenceSelf-assurance or trust
- reassuranceWords meant to calm
validation · verification · credibility · trust · reliability · security · endorsement · authentication · commitment · promise
pre-approval letterloan approval
Lender's formal acceptance
final approval · loan denial · mortgage note · conditional approval
approval, letter, approve, approved, approving, approves, disapprove, disapproval, approvingly