5 Steps to Get Pre-Approved for a Mortgage in Dallas

Securing a pre-approval is the single most important step for a Dallas homebuyer, signaling to agents and sellers that you are financially ready to make an offer.

Step 1: Know Your Finances: Credit and DTI

• For a conventional loan you’ll generally need a minimum credit score of 620.
• For an FHA loan, a credit score of 580 or higher lets you qualify for the 3.5 % down‐payment option.
• Your DTI (monthly debt ÷ gross monthly income) should ideally fall in the range of 43% or lower, though this can vary by lender. 

Step 2: Choose a DFW Lender and Loan Type

Don’t just pick the first lender you find. I work with some of the best lenders in the country, and I can connect you with a preferred lender who will help you get the best loan options for your goals.

• If you plan to use down‑payment assistance programs in Texas (like Texas State Affordable Housing Corporation or other local options), you must use a lender approved by those programs.
• Compare rate, fees, lender reviews, and whether the lender knows the Dallas market.

Step 3: Gather Essential Documentation

The pre-approval is a verification process, so have these documents ready to avoid delays:

• Income Proof: Last two years' W-2s (or 1099s for self-employed) and your last 30 days of pay stubs.
• Tax Records: Last two years of signed Federal Tax Returns.
• Asset Proof: Last 60 days of bank statements (checking, savings, and investment accounts).
• Identification: Your photo ID (Driver's License) and Social Security Card.

Step 4: The Application and Hard Credit Pull

Once your documents are in order:

• You’ll complete a formal loan application.
• The lender will review all your financial information, empowering you to understand your true buying power and what price range you can confidently pursue.
• The lender will determine your maximum qualifying loan amount based on credit, income, debt, and property location.

Step 5: Receive Your Pre-Approval Letter

Once approved, you’ll receive a pre‑approval letter telling sellers (and agents) you’re ready to buy.

• These letters are typically valid for 60‑90 days depending on the lender. 
• You’ll be able to confidently tour homes and make offers knowing your budget.
• If more than a couple of months pass, you may need to update pay stubs or bank statements.