Mortgage Preapproval
When to Get Prequalified
- You’re thinking of buying
- You want an initial budget
- You aren't ready to provide documentation
When to Get Preapproved
- You’re actively shopping
- You want to know your buying power
- You’ve gathered your documentation
When to get a Verified Preapproval Letter (VPAL)
- You’re competing against multiple buyers
- You’re ready for a full underwriting review
- You want to take advantage of Lock and ShopFootnote 1
Compare Your Options
| Feature | Prequalification | Preapproval | VPAL |
|---|---|---|---|
| Purpose | Provides an early estimate of what you may be able to afford | Carries more weight; Shows you're more ready to buy | Gives you an edge in a fast-paced market to bid against cash buyers |
| Credit Inquiry | Hard pull | Hard pull | Hard pull |
| Income, Assets & Debt | Self-reported; no need to submit documents | Submit initial documents for review by an underwriter* | Submit all documentation needed for full underwriting review* |
| Buying Power | Minimum | Stronger | Strongest |
| Best For | Early Research | House Hunting | Early Rate Lock |
| Typical Time Needed | Almost instantly | 1-2 business days | 5-10 business days |
| How to Get One | Apply Now | Apply and then talk to your loan officer and provide specific required documents for a thorough review. | Apply and then talk to your loan officer and provide specific required documents for a thorough review. |
*Self-employed borrowers may need to provide additional documentaiton.
Protect Yourself From Rate Increases
Once you have a verified preapproval, you can take advantage of our Lock and ShopFootnote 1 option. It allows you to lock in your interest rate for up to 60 days while you shop for a home and then for another 60 days after you submit a Purchase Agreement.
Ask your Loan Officer for details!
More About the Mortgage Process
-
The Mortgage Loan Process in 10 Steps
It starts with a preapproval and finishes with your perfect home. We've broken down the process to make it easier for you.
Learn More about The Mortgage Loan Process in 10 Steps -
Mortgage Application Checklist
Don't miss a step with our mortgage checklist, and know what to expect during each part of the process.
Learn More about Mortgage Application Checklist -
Which Mortgage Is Best for You?
Answer a few simple questions to learn which Navy Federal home loan might be the best option for you.
Learn More about Which Mortgage Is Best for You?
Disclosures
The Lock and Shop option is available for purchase transactions under the Verified Preapproval Loan (VPAL) program. It allows members to lock their rate while they shop for a property for a fee of 0.125% in rate. Members have 60 calendar days to secure a ratified sales contract, plus 60 additional calendar days for Navy Federal to process and close their loan (total 120-day lock commitment). In the event the VPAL expires or a ratified contract is not secured within the first 60 days, whichever happens first, the lock will become void and the loan will revert to float status, subject to standard rate lock policies. If rates improve after a ratified sales contract is secured, members are eligible for a one-time re-lock with a maximum interest rate reduction of up to 0.500% at no additional cost.
↵