How are the three terms, pre-qualification, pre-approval & final loan approval differs from each other?
The first process called pre-qualification involves the assessment of the total mortgage you can offer to the lender and this is determined by the income-proof provided by you and your credit report. The verification of your employment and accounts information is conducted in the next process called pre-approval. In this very process your mortgage capacity is approved after estimating the market value of the property you are interested in. The last process, known as the final loan approval, marks the completion of the loan approval with all necessary documents and other formalities including contingency plan been finalized by the lender.
