What Prequalification Actually Means Prequalification is an informal estimate of how much you might be able to borrow based on self-reported income, debts, and savings. You share basic financial information with a lender, they run a soft credit check (or sometimes...
What Is Debt-to-Income Ratio? Your DTI tells lenders how much of your income is already spoken for. It's one of the main numbers they look at when deciding whether to approve your loan, alongside your credit score and down payment. Lenders calculate two types:...
