Mortgage Preapproval for NYC Buyers

A financing conversation helps you test a budget before you build a search around it. Treat it as a chance to understand both the numbers and the lender’s process.

Compare lenders The CFPB recommends seeking preapprovals from at least three lenders. Preapproval involves a review of finances and an estimate of borrowing capacity and likely interest costs.

Questions to bring • Which documents will you review? • What assumptions are behind this estimate? • How long is the letter useful, and when should it be refreshed? • Which borrower and property conditions remain? • Can you finance the ownership type I am considering? • Who handles the application and updates? • What is included in the payment estimate? • What fees, points, and rate-lock terms should I compare?

Compare like with like Ask for scenarios using consistent loan amounts, terms, and down payments. A lower displayed rate is only part of the comparison. Record fees and any features that could change future payments.

Keep your own budget Decide what monthly cost leaves room for your other needs. Bring that target to the lender rather than using the largest estimated loan amount as your search instruction.

Your next step: prepare a lender comparison sheet and ask each lender to explain outstanding conditions. Confirm what a letter does and does not establish before relying on it in an offer.

General educational information. Lending terms and eligibility depend on the lender and transaction.

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