US Buyers: Preapproval Carries More Weight | 🏡 Think you need 20% down to buy a home? Think again! You may qualify with less money down than you think.

Prequalification gives buyers a rough budget based on self-reported income, debts, savings, credit score, and down payment, making it a useful planning tool, not financing.
Preapproval goes deeper: lenders review credit, income, debts, assets, and documents, then issue a conditional letter showing a more reliable loan amount and rate.
A soft credit pull may support prequalification without affecting scores, while preapproval usually uses a hard inquiry that can trim a score slightly.
Neither option locks buyers into a lender, but preapproval typically matters more once touring homes, because sellers often expect verified financing with offers.
Because preapproval reflects current documentation and market conditions, buyers should refresh it if a few mo pass before going under contract on a home.