Secure Your Dream Home Financing

Prequalification is a quick, high-level assessment based on self-reported financial information; no hard credit pull is required in most cases. Preapproval goes deeper: it involves verified documentation (tax returns, pay stubs, bank statements) and a hard credit inquiry, resulting in a conditional loan commitment. Sellers and real estate agents treat preapproval more seriously in competitive markets. Sistar Mortgage offers both.

A standard prequalification uses a soft credit inquiry, which does not affect your credit score. A full preapproval uses a hard inquiry, which may lower your score by a few points temporarily. If you're shopping multiple lenders, multiple mortgage-related hard inquiries within a 14–45-day window are typically counted as one inquiry by the credit bureaus, minimizing any impact.

For prequalification, you typically need basic information: estimated income, monthly debts, employment status, and an idea of your credit range. For a full preapproval, you'll need 2 years of W-2s or tax returns, recent pay stubs, 2–3 months of bank statements, and government-issued ID. Self-employed borrowers may also need business tax returns or a CPA letter. Having these ready speeds up the process significantly.

Our prequalification process typically takes just a few minutes to complete online or over the phone. Once your information is reviewed, you'll receive feedback quickly, often the same day. A full preapproval with document verification typically takes 1 to 3 business days. The faster you submit your documents, the faster we can get you a letter to shop with confidence.

A prequalification letter is generally valid for 60 to 90 days. After that, your financial information is re-verified to ensure nothing has changed. If your letter expires during your home search, simply contact us. Updating your prequalification is quick and easy. Avoid making large purchases or opening new credit accounts during this window, as these can affect your eligibility.

Anyone considering a home purchase can and should get prequalified, including first-time buyers, veterans (for VA loans), self-employed individuals (through Bank Statement programs), buyers relocating to Michigan, and current homeowners looking to upgrade. There's no cost or obligation, and it gives you a clear picture of what you can afford before you fall in love with a home outside your budget.

Sistar Mortgage works with credit scores starting at 580. FHA loans accommodate 580+ scores with 3.5% down. Conventional loans typically require a 620 or higher. VA and USDA loans have no official minimum, though most lenders prefer 620+. Even if your score is lower, getting prequalified is worthwhile. Our team can provide a roadmap to improve your score and qualify faster.