When prospective buyers find a house they like, the first thing the seller wants to know is if the buyer can realistically afford the cost. When sellers aren’t sure if the buyers have sufficient resources, they sell to another buyer who does. So, being able to prove to a seller that you can qualify for the right mortgage amount can make the difference between getting your dream home or losing out. This is where the process of pre-qualification can make buying a home easier.
And, since pre-qualification also helps homebuyers understand how much they can reasonably afford to pay for a home, they can stay within the right price range during house-hunting, and they are more likely to be approved for their mortgage once they find their house.