Soft Pull PreApproval Letter
You can get a soft pull mortgage pre-approval by using our online instant mortgage pre-approval application. The process of getting preapproved for a mortgage using a soft credit inquiry, which does not affect your credit card is simple. Follow the steps below to get a same-day mortgage preapproval.
5 Steps to get a soft pull mortgage preapproval letter:
- Use Equifund's Online Mortgage Application: Enter your income, purchase price, down payment, credit score, and monthly debts
- Review Real Prequalified Loan Options: Select the prequalified loan option with the lowest annual percentage rate (APR)
- Upload Income and Asset Documents: After selecting your loan option, you will be prompted to upload income and asset documents
- Preapproval Review: In less than 24 hours, we will review all income and asset documents and use a soft pull credit inquiry to verify eligibility.
- Issue Verified Preapproval letter: Upon satisfactory review, EquiFund will email you a verified mortgage preapproval letter.
What is a soft pull mortgage preapproval letter?
A soft pull mortgage preapproval letter is issued with a mortgage preapproval that relies upon a soft pull credit inquiry. The soft pull credit inquiry does not affect your credit score, and gives you the ability to shop and compare multiple mortgage lenders loan offers.
How does soft pull mortgage preapproval work?
A soft pull credit inquiry does not hurt the applicants credit score. The credit report information provided to the mortgage lender is the same data that would be provided on a hard credit inquiry. While a hard credit inquiry is a formal request for a line of credit, a soft pull credit inquiry is used for an informal inquiry for a line of credit.
The validity of the mortgage preapprovals for both hard pull and soft pull credit inquiries are the same. Both hard pull and soft pull mortgage preapprovals are equally valid.
Benefits of Soft Pull Mortgage Preapproval:
- No Hard Credit Checks: Soft pull preapproval allows borrowers to receive a preapproval letter without any hard credit inquiries, safeguarding their credit score from unnecessary hits.
- Shop and Compare Loan Offers: Applicants can now shop and compare real preapproved loan offers without lowering their credit score.
- Convenient and Time-Saving: Soft pull preapproval can typically be done online, eliminating the need for in-person visits and streamlining the application process.
- Preapproval Confidence: With a soft pull preapproval, borrowers can confidently search for homes within their budget, knowing they have a lender's preliminary commitment to provide them with a mortgage.
Soft pull mortgage preapproval: Obtaining a mortgage preapproval letter without hard credit checks
When securing a mortgage, one of the initial steps is obtaining a mortgage preapproval letter. In order to obtain a mortgage preapproval the lender must access the applicants credit report using a hard credit pull which normally lowers the applicants credit score.
The soft pull credit inquiry was implemented to give credit applicants the ability to shop and compare preapproved loan offers without hurting their credit scores.
With the advent of soft pull mortgage preapproval, borrowers can now obtain a preapproval letter without hurting their credit scores from hard inquiries.
Conclusion about soft pull mortgage letters
Soft pull mortgage preapproval offers home-buyers the ability to shop and compare multiple mortgage lenders preapproved loan offers without lowering their credit scores. .
The soft pull mortgage preapproval is equally valid to a hard credit pull mortgage preapproval. The soft credit inquiry gives consumers the ability to identify the lowest interest rates and closing cost on their new mortgage loan.
Get a Soft Pull Mortgage Preapproval at EquiFund Mortgage
The information below is to give home buyers the information needed prior to getting an online instant mortgage preapproval. The information will guide home buyers through what is an online instant mortgage preapproval as well as a step by step guide to using the online app.
What are the Steps to get Online Instant Mortgage Preapprovals?
EquiFund is an equal housing lender that provides a mortgage app that provides Online Instant Mortgage Preapprovals with interest rates 1% lower than mortgage rates most lenders and banks guarantee.
By eliminating the need to pay loan originators, the mortgage app reduces costs for borrowers. The mortgage app translates to a lower interest rate of 1% for home loans. The app is free with no obligations.
This app will determine how much home the borrower may afford to purchase. The borrower may also get an idea of how much the mortgage insurance will cost when applicable.
The app will identify the lowest rate and fee mortgage preapproval online and issue a preapproval letter for the borrower in approximately 3 minutes. This instant approval is necessary to start the home-buying process. Using our online app only takes a few minutes to complete.
The mortgage preapproval letter will help the borrower when shopping with real estate agents for a home. This preapproval letter will confirm their eligibility when buying a home with their real estate agent and home sellers.
Our mortgage app will generate both a mortgage prequalification that does not rely upon verification of income documents or a credit inquiry and a verified mortgage preapproval that will use the borrower’s credit report and their income and asset documents that they may upload to receive a verified preapproval letter.
How do Borrowers get the Best Online Mortgage PreApproval and Loan?
To secure the best online mortgage preapproval to buy a home, home buyers should use a service that compares real mortgage options from multiple lenders and simultaneously issues a preapproval letter.
In just a few minutes, the mortgage app returns actual loan offers with mortgage rates 1% below most banks’ and lenders’ offers. We guarantee to deliver the lowest rate and fee mortgage preapprovals online.
This online app will identify the lender with the absolute lowest interest rate mortgage loans by using the borrower’s credit history and score to immediately identify which mortgage lenders or banks will provide the most savings for them while getting preapproved.
The mortgage app will also function as a calculator that will compute all monthly payment details like insurance premiums and property taxes and provide the borrower with the maximum mortgage amount they are eligible to borrow.
This 1% lower mortgage interest rate equals approximately 10% more purchasing power on the borrower’s next home for free than other loan offers. This is a considerable saving for the borrowers.
The app will identify the lowest preapproved interest rate and fee loan from the Nation’s best lenders in our marketplace guaranteed.
Benefits of using EquiFund’s Online Mortgage Preapproval 3-minute App
- Get Instant Online Mortgage Preapprovals
- Automatically emails letter of preapproval.
- Guarantees the lowest interest rate and fee home loans in the marketplace.
- This app will save borrowers more on their next home loan.
- Get 10% more buying power for free than most home loan offers!
- Online streamlined loan shopping, preapprovals, and loan closing process
- EquiFund completes all the work from origination through funding.
- Non-Bias home loan lending that compares multiple lenders’ loan offers all in one user session.
How do borrowers use this Online Mortgage PreApproval Online app?
The mortgage app is straightforward and quick to use. It works just like a standard calculator. It will ask the borrower basic information that they already know.
This online app is designed to simplify the process of finding the lowest cost loan and only takes a few minutes to answer questions and will automatically capture the best home loan in our marketplace for the borrowers.
The mortgage app is a loan preapproval calculator that will preapprove the borrowers and provide actual interest rates and closing cost loan options in under 3 minutes.
The app is fully transparent, and borrowers will see all the lending terms and information like required cash to close, monthly payments, closing costs, and more.
Seven steps to use the online mortgage preapproval app?
- Click the Apply Now
- Answer all the questions like annual income, credit score, purchase price, down payment, and monthly bills like auto loans, credit cards, and assets.
- Review the borrower’s mortgage options and terms. The lowest rate fee loan determined by APR appears first in the results list.
- Select the borrower’s preferred loan choice.
- Optional-upload financial documents.
- Schedule a call back time or call EquiFund Mortgage to review.
- Check their email for the mortgage preapproval letter.
Once the borrowers provide this basic information, the app will process their file and verify eligibility and their instant online mortgage preapproval will be generated immediately.
The online app will sort the list of preapproved home loans based on their profile, with the very best being at the top of the list.
If they are ready to get preapproved, our online instant mortgage preapproval app will help them secure their home financing needs.
Information displayed on the preapproved loan options page:
The app will identify all eligible and preapproved loan programs by performing all necessary calculations to return a list of preapproved loan options. The app will show the borrowers all of the following items:
Online Preapproved Loan Option Results:
- Preapproved Loan Amounts.
- Preapproved Purchase Price.
- Loan to value based on down payment.
- Annual percentage rate.
- Debt-to-Income Ratio
- Monthly payment
- Closing costs
- Monthly mortgage insurance
What is the Online Mortgage Preapproval Process?
The home buying journey starts with finding the lowest interest rate and closing cost loans for which the borrowers are preapproved.
The mortgage preapproval process has three components that are all interrelated and required to issue a reliable preapproval decision and a verified mortgage preapproval letter.
Mortgage Prequalification:
The mortgage process starts with prequalifying, which means the lender or our online app will rely upon the information the borrowers provide to determine eligibility. This is called mortgage prequalification.
Mortgage Preapproval with Credit Report:
The second step requires authorization from the borrowers to make a full credit report inquiry. After completing the first step, mortgage prequalification, the borrowers’ credit history, and credit score will be reviewed to verify that the credit ratings meet the loan program’s underwriting guidelines.
Verified Home Loan Mortgage Preapproval
The third and final step provides the most accurate loan preapproval. The Verified Mortgage Preapproval process requires the home loan originator to verify all the income and asset documents and a full review of the borrower's credit profile to render a verified mortgage preapproval letter. With three simple stesp to find the best loan approval to get approved, the borrowers may use our app in less than 3 minutes.
Should Borrowers apply with different lenders or use this online mortgage preapproval platform?
No, applying with different home loan providers will require hours of unnecessary work and multiple credit pulls. In addition, to make an educated decision, the borrowers will have to analyze each loan estimate to compare loan offers. EquiFund’s app does all of this in under 3 minutes.
Use our online preapproval platform that provides multiple preapproved home loan offers from the Nation’s best providers. This platform will validate their mortgage preapproval and identify the marketplace’s lowest interest rate and fee loan.
This online mortgage preapproval platform usually offers 1% lower interest rates than most other home loan providers. That equals approximately 10% more purchasing power on their next home regardless of their selected loan product.
IMPORTANT: Unfortunately, most homeowners will stop loan shopping with the first lender they obtain a mortgage preapproval with. When they buy a house, they will most likely overpay by 10% of the price of the home.
How long is a mortgage preapproval letter good for?
In general, credit verified preapproval letters will be valid for 60 days. If the borrowers have not found a home after 60 days, they must re-apply for credit check preapproval.
They will be re-approved if there are no major credit events or loss of income during this time.
If they exceed 60 days, be prepared to update the required documents for a loan preapproval.
What not to do after getting preapproved for a home loan?
- Maintain adequate balances in the bank account with funds for down payment. Do not take out additional lines of credit like auto loans, credit cards, or personal loans.
- Continue to make all payments on time.
- Contact the lender before making any additional purchase using credit.
What are the online mortgage preapproval requirements?
The minimum factors for home loan prequalification and closing require a middle credit score of 580 or higher and a minimum of 3.5% down for non-veterans.
Veterans will qualify for a 0% down payment and a minimum credit score 580.
The loan amount and gross monthly income to get approved should be slightly more than double that of all the borrower’s monthly debt payments like credit cards, student loans, personal loans, and auto loans.
- Employment Verification
- Income Verification
- Job History
- Debt-to-Income Analysis
What are the requirements for each loan program in this online mortgage preapproval app?
The app incorporates all the loan programs and products offered by Fannie Mae, Freddie Mac, and Ginnie Mae. We also include all eligible first time homebuyer programs.
The online app uses the underwriting guidelines from multiple National lenders to verify eligibility and preapproval.
The app will provide adjustable rate mortgages and fixed rate home loans for primary residences, investment properties, and secondary residences.
While each lender may have different requirements and interest rates, our online system matches the borrower’s credit profile to the best home loans and lending terms.
Below is a list of loan programs and products, credit scores, and down payment requirements.
Online Mortgage Loan Programs Minimum Credit Score Requirements
- FHA Loans: 580
- VA Loans: 580
- Conventional Loans: 620
- Jumbo Loans: 640
- Bank Statements Loans: 640
- USDA Loans: 600
Online Home Loan Programs Minimum Down Payment Requirements
Each home loan program listed below has unique underwriting loan approval guidelines. One main factor is how much money will be used as a down payment. The down payment determines the maximum Loan-To-Value allowed per loan program.
- FHA Loans: 3.5%
- VA Loans: 0%
- Conventional Loans: 3-5%
- Jumbo Loans: 10%
- Bank Statements Loans: 10%
- USDA Rural Loans: 0%
Once the borrowers complete the online app, they will see how much house they may afford. The borrowers may select their desired preapproved home loan option; the next step is to submit all requested documents to complete the underwriting process for final loan approval.
Information Needed for Online Mortgage Preapproval:
- Enter the borrower’s credit score.
- Input the borrower’s gross monthly income.
- Input any rental property income.
- Provide monthly bills like credit cards and auto loans.
- Provide purchase price amount.
- Enter the down payment amount.
- Enter the borrower’s Homeowners Insurance Policy.
The preapproved home loan options displayed online will give the borrowers the lowest interest rate and fee loan guarantee based on their credit, income, and terms of their loan request.
Based on all the National lenders in our system, the app will identify the lowest rate and fee preapproved online home loan.
Regarding their finances, securing their loan amounts at the lowest interest rate possible in just one step will give them a financial situation and the ability to safeguard their finances.
Required income and assets documentation to process a Verified Mortgage Preapproval
- Income Verification: 1 Month of most recent pay-stubs
- Verification of Assets: Checking and Savings Account
- Last two years’ W-2 or Tax Returns
- Identification: Drivers License
- Credit score check for Verified Mortgage Preapprovals
- Business tax returns
- Purchase contract
- Current mortgage statement
- Other financial information may be requested.
After reviewing the loan options and the borrowers selecting the preferred loan program, FHA Loans, VA Loans, Conventional Mortgages, or Jumbo Loans online, the next step in the mortgage application process is to upload documents that verify their income and assets.
Upon receipt of these documents, a Home Loan Specialist will review each item and pull a full credit report to issue a credit, income, and asset verified mortgage preapproval in less than 24 hours.
What documents will borrowers receive after requesting a Verified Mortgage Preapproval?
After the borrowers submit all required documents, like income and assets, a home loan specialist will review each document to verify that they satisfy the requirements per underwriting guidelines to meet their home financing needs.
After review of the borrowers’ submitted documents, a home loan officer will run an automated underwriting application using Fannie Mae or Freddie Mac desktop underwriter or loan prospector.
When the automated underwriting application returns a loan approval, the borrowers will receive initial loan disclosures, like the Loan Estimate, Truth-In-Lending, Servicing Disclosure, and Initial loan application.
