Questions worth asking
before you apply.

Pre-qualification is a quick, informal estimate of what you might be able to borrow, based on information you self-report — it's not verified and carries little weight with sellers. Pre-approval involves submitting actual documentation (income, assets, credit) for underwriting review, resulting in a conditional commitment letter. Pre-approval is what most real estate agents and sellers expect to see with an offer.

With documents in hand (recent pay stubs, W-2s or tax returns, bank statements), pre-approval can often be turned around within a day or two. The biggest delay is usually waiting on the borrower to gather paperwork, not the underwriting itself.

Typically: your two most recent pay stubs, W-2s or tax returns for the past two years, two months of bank statements, a photo ID, and information on any other debts or assets. Self-employed borrowers and those using non-traditional income sources may need additional documentation — we'll walk through exactly what applies to your situation.

It depends on the loan program. Conventional loans typically require a minimum score around 620, FHA loans can go as low as 580 (or even 500 with a larger down payment), and VA loans don't have a hard minimum set by the VA itself, though most lenders look for at least 580–620. Jumbo loans usually require stronger credit, often 700 or above. Higher scores generally mean better pricing, regardless of the minimum.

Yes. Self-employed borrowers typically qualify using two years of tax returns, but there are also bank statement programs and other non-QM options that look at business cash flow or deposits rather than tax-return net income — which can be especially useful when write-offs reduce paper income.

DTI compares your total monthly debt payments (including the new mortgage) to your gross monthly income. Most conventional programs look for a back-end DTI under 43–50%, though this varies by program and compensating factors like strong credit or large reserves. You can run your own numbers on our DTI calculator.

Less than most people assume. Conventional loans can go as low as 3% down for qualified first-time buyers (Conventional 97, HomeReady). FHA requires just 3.5% down. VA loans can require zero down for eligible veterans and service members. The traditional 20% figure mainly comes from wanting to avoid mortgage insurance, not from a requirement to qualify.

Closing costs typically run 2–5% of the loan amount and cover items like lender fees, title insurance, appraisal, escrow setup, and prepaid taxes/insurance. Some of these can be negotiated as seller-paid concessions, and certain programs allow costs to be rolled into the loan or covered by lender credits.

Private Mortgage Insurance (PMI) is typically required on conventional loans with less than 20% down — it protects the lender, not you, and is usually removable once you reach 20% equity. FHA loans have a similar requirement called MIP, which works a bit differently. VA loans don't require mortgage insurance at all.

A direct lender originates and often services loans using their own funds and guidelines, so you're limited to whatever they offer. A mortgage broker works with multiple wholesale lenders and shops your file across them to find the program and pricing that fits, without being tied to one set of guidelines. Brokers are licensed and regulated the same as direct lenders, and disclose their compensation the same way.

A typical purchase closes in 21 to 30 days from a fully executed contract, though this can move faster with a clean file and responsive borrower, or slower with complex income, appraisal delays, or a busy market. Refinances often follow a similar timeline. Getting pre-approved before you make an offer is the single biggest thing that speeds up the process later.

DSCR stands for Debt Service Coverage Ratio. It's calculated by dividing a property's gross rental income by its total monthly housing payment (PITI). DSCR loans qualify based on whether the property's rental income covers the mortgage payment, rather than on the borrower's personal income — useful for investors with multiple properties or income that's hard to document conventionally. Try the DSCR calculator to see where a property stands.

Yes — once your loan is in process, you can typically lock your rate for a set period (often 30–60 days) to protect against market movement before closing. The right time to lock depends on market conditions and your closing timeline; we'll talk through the tradeoffs together when you're ready.