How Long Is Mortgage Pre-Approval Good For?

A mortgage pre-approval letter is typically good for 60 to 90 days. Since a borrower’s financial circumstances can change abruptly, some lenders may issue pre-approval letters with limits as short as 30 days. When a lender grants you pre-approval, it means they’re agreeing to lend to you under the conditions that your financial situation remains materially the same. They’ll issue you a pre-approval letter detailing the information about your loan, including the estimated amount and interest rate you qualify for, the loan term and your projected monthly payments.

In a recent Zillow survey, almost all mortgage buyers (96%) reported getting pre-approved for financing. Nearly half of cash buyers (45%) also reported getting pre-approved, despite ultimately buying their home without a mortgage. With a pre-approval letter, you can start shopping for a home and confidently make an offer when you find the one you want.

The difference between getting a mortgage pre-approval vs pre-qualification

While these terms can vary between lenders, in general, mortgage pre-qualification provides borrowers with a rate estimate based on self-reported information, such as income, assets and debts. Mortgage pre-approval involves a more in-depth review of a borrower’s financial criteria. Pre-qualification usually involves a soft credit pull and only takes a few minutes. Pre-approval typically requires a hard credit pull and can take less than a day or several days to complete. When you get pre-approved with us at Zillow Home Loans*, no hard credit check is required.

With pre-qualification, you can get a better understanding of your home-buying budget and mortgage products available to you. With pre-approval, you let sellers and your agent know you’re ready to buy a home. You can make a strong offer on the home you like and, if it’s accepted, begin the closing process. Learn more about the differences between pre-approval vs pre-qualification.

How do I know when my mortgage pre-approval letter expires?

Your pre-approval letter will include the expiration date in addition to all the details regarding your pending mortgage. The exact duration of your pre-approval will depend on your lender, but you’ll likely have up to three months to use it before it expires. 

What happens if my mortgage pre-approval expires?

If your mortgage pre-approval letter expires before you find a home, you may need to resubmit your financial documents to your lender for another pre-approval. If there are no significant financial changes, such as new debts, large withdrawals or job changes, your lender will likely issue a new pre-approval letter the same day you reapply. 

If you don’t find a home you love by the pre-approval expiration date, or you decide to pause your home search until a later date (life happens); whatever the reason, just know getting pre-approved for a mortgage is a step you can take more than once.

When should I apply for mortgage pre-approval?

The rule of thumb is to apply for mortgage pre-approval at least 90 days before buying a home. This typically gives homebuyers enough time to find a home within their budget, make an offer, and start the process of closing and obtaining official mortgage approval. The time it takes to get pre-approved can range from less than a day to several days, depending on the lender. Your pre-approval start date begins as soon as you get your letter. 

What is needed for mortgage pre-approval?

When applying for mortgage pre-approval, lenders typically require the following:

• Driver’s license and social security number (or Individual Taxpayer Identification Number)
• Recent pay stubs and bank statements
• W2s and tax returns from the past two years
• Proof of assets and debts
• Proof of gift funds, bankruptcy, divorce, or alimony payments

This information tells lenders what type of home loans, interest rate, and borrowing amount you qualify for.

How does mortgage pre-approval affect my credit score?

Getting mortgage pre-approval usually requires a hard credit pull, which will impact your credit score. On average, a hard inquiry for mortgage pre-approval will decrease a borrower’s credit score by five points, though some may decrease as much as 10 points. Fortunately, borrowers can apply for multiple pre-approvals within a 45-day period without multiple hits to their credit. This allows you to compare pre-approval estimates and space out your pre-approval timelines for more breathing room. 

When re-qualifying for pre-approval, lenders may need to take a hard credit pull, but credit reports are typically good for up to 120 days versus the 90 day pre-approval expiration date. Multiple hard inquiries will continue to lower your credit score and can affect your mortgage rates and borrowing amount. To ensure your credit score is unaffected, it’s recommended to wait three to six months before reapplying for pre-approval so your score can recover.

Shopping for a home doesn’t have to end just because your pre-approval letter expires. Whether you just ran out of time or need to pause your home search, you can apply for another pre-approval letter by requalifying with your lender. If you’re not quite ready to purchase a home but are interested in learning about your home loan eligibility, you can get pre-qualified with us at Zillow Home Loans* in as little as five minutes, with no impact on your credit.

*An equal housing lender. NMLS #10287