Here are the differences between pre-qualification and pre-approval ¹ ² ³:

Pre-qualification is an estimate based on a borrower's self-reported financial information, while pre-approval is a conditional commitment based on verified information and a credit check.

 Pre-qualification is a quick, informal process, while pre-approval is a more formal and involved process.

 Pre-qualification does not guarantee a loan, while pre-approval is a more reliable indicator of a borrower's creditworthiness.

Pre-qualification is not always required, while pre-approval is often necessary for serious homebuyers.

Pre-qualification is usually valid for a shorter period, while pre-approval is typically valid for 90 days.