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1. Know the difference between mortgage preapproval and mortgage prequalification

Pre-Approval:

Getting preapproved for a home loan requires more documentation, verification and time than a mortgage prequalification process.

  1. Requires complete mortgage application (excluding property address)
  2. Credit report pulled
  3. Information submitted to automated underwriting system
  4. Borrower provides documentation of income and assets (e.g. paystubs, tax returns, bank statements, etc.)
  5. Lender reviews and verifies all information
  6. Lender issues a Preapproval Letter subject only to:
    • a satisfactory property appraisal
    • general closing conditions (e.g. evidence of hazard insurance)
    • No material change in information used to issue pre-approval (e.g. new debt, job loss, etc.)

 

Pre-Qualification:

Getting a mortgage prequalification is a simpler process than getting a home loan preapproval and yet still demonstrates you are serious about buying a home to both realtors and sellers.

  1. Requires discussion with mortgage lender about your monthly income and liabilities
  2. Credit report may be pulled
  3. Does NOT include submitting a full mortgage application, income documentation nor any verification
  4. Lender issues a Prequalification Letter based on what you have told them

At GMFS Mortgage, we find that the vast majority of our borrowers opt for getting prequalified for a mortgage because it is a faster process than getting pre-approved for a mortgage and therefore allows you to begin shopping sooner for your dream home knowing your prequalification letter allows them to make purchase offers with confidence.

Get Started with GMFS Mortgage

2. What documents do you need for a mortgage?

For a mortgage, you will need to provide documents that verify both your identity and income. These documents for your home loan include, but are not limited to, the following:

  1. ❑ Pay stub for the last 30 days
  2. ❑ W-2 forms covering the last two years
  3. ❑ Signed federal tax return, last two years  (both personal and business if applicable)
  4. ❑ Bank statements  (two most recent, include all pages… even if blank)
  5. ❑ Documentation of name change  (if recent)
  6. ❑ Proof of your identity  (typically a drivers’ license or non-driver ID)
  7. ❑ Social security number  (SSN)
  8. and more… See the full list of documents

 

3. What is the home loan process?

  1. Work with a GMFS Mortgage Loan Officer to get Prequalified, Start an Application or Request a Free Consultation
  2. Partner with a Realtor to search for your dream home armed with a prequalification letter or preapproval letter
  3. Get contract on home to be purchased
  4. Provide property address, purchase contract details and requested documentation to your GMFS Mortgage Loan Officer to start loan process
  5. Documentation reviewed and verified by GMFS Mortgage
  6. Home appraised
  7. Mortgage approval
  8. Closing scheduled… Get more details on the GMFS Mortgage process

Why GMFS Mortgage?

Keep in mind, there is more to consider when searching for the best mortgage lenders to get preapproved with or prequalified with, than just which mortgage companies have the best mortgage rates today.

  • GMFS Mortgage has been CHANGING LIVES for our customers and communities since 1999
  • Over 89,000 customers in 23 states resulting in over $14.9 billion in residential mortgage funding
  • Customer rating of 4.8 out of 5 stars
  • Better Business Bureau accredited with an A+ rating
  • Our staff has an avg. of 14 years of industry experience
  • Critical processing, underwriting and closing staff are all under the same roof resulting in smooth and predictable closings
  • Secure loan portal for easy online application, uploading loan docs and loan status alerts

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