Mortgage pre-approval gives you a clear understanding of how much you can afford to spend on a home. This helps you narrow down your search to properties that fit within your budget. Without pre-approval, you may waste time looking at homes that are ultimately out of your price range.

When you make an offer on a house, sellers often want to know that you are a serious and qualified buyer. Having a pre-approval letter from a lender shows that you are financially capable of completing the purchase, making your offer more appealing to sellers.

In a competitive real estate market, where multiple buyers may be interested in the same property, having a pre-approval can give you a competitive advantage. Sellers are more likely to consider offers from pre-approved buyers over those who haven't taken this step.