Ready to buy? Time to Pre-qualify! What you need to know about prequalification letters!

If you are buying your first home, you most likely have tons of questions.  The good news is, we can help!  Today we are going to provide information designed to help the first time buyer learn about the all important Mortgage Pre-Qualification.  So if you are ready to buy your first home, read on.  We’ll help you understand this first step in the process.

First of all, what is a pre-qualification?
A Mortgage Pre-Qualification is the process when a lender reviews your financial information and helps you to determine how much they are willing to lend you for a mortgage.  The end result is a letter that states the mortgage you would qualify for, although in most cases, it is not actually an approval of a loan. 

Why is a pre-qualification important?
First, going through the pre-qualification process is a great tool to help you find out how much house you can afford.  This will help you to make smarter financial decisions with the home you ultimately purchase because you can avoid falling in love with a house that is beyond your budget.  It also lets everyone involved in the process of purchasing your new home know that you are serious about buying.  This can help when it comes down to the end of a deal and there are two buyers vying for the same home.

What do I need to have in order to begin the process?
If you have already established a relationship with a bank, that is a great place to start.  You can also turn to get in touch with our Senior Residential Loan Officers, Cyndi O'Brien and Rick Farrow.  They will be happy to make an appointment with you and answer any questions you may have.  You will need to bring in several pieces of documentation to help during the process.

Below is a list of the documentation needed:

  • One Month of Pay Stubs with Year to Date Earnings Reflected
  • Two Years Tax Returns
  • Two Years of W-2s
  • Copies of Bank Statements
  • A Signed Credit Authorization

So there you have it, plenty of questions regarding the pre-qualification press and pre-qualification letter. Wallkill Valley Federal Savings & Loan wants to help your dreams of homeownership become a reality, if you are in the market for a home we encourage you to give Cyndi O'Brien or Rick Farrow a call. Their information is listed below.  You can also email them at & They would be happy to help you get started in the process of obtaining a pre-qualification letter and help you move one step closer toward home ownership.

Cyndi O’Brien: 845-346-6635 895-2051 ext 431
Rick Farrow: 845-527-2090  895-2051 ext 426