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Levels of Qualification

Not All Approvals Are Created Equal

Is there really a difference between a pre-qualification, a pre-approval and a Platinum Approval? Absolutely! Let’s take a moment to explore the differences.


This is the most basic form of approval and in all transparency, it’s not really an approval at all. Rather, a pre-qualification typically amounts to no more than a peripheral conversation between the buyer and a lender to estimate the amount a buyer can borrow. It does not involve a review of income and asset documentation and does not involve a credit report being pulled. Most sellers would scoff at such an “approval” if a buyer made an offer on their property with this level of commitment.


The pre-approval has become the gold standard of the industry. The process includes a lender’s evaluation of the buyer’s income, assets and credit. Through careful examination of this info, the lender will produce a conditional loan approval, Typically a buyer will need a loan contingency when making an offer so that they can “get your ducks in a row” prior to putting their deposit on the line with the seller.


Platinum Approval
Created to combat the recent lack of inventory and the resulting stiff competition facing many buyers, o2 Mortgage offers the Platinum Approval, which not only an in-person pre-approval takes place to guide clients through options and determine their level of affordability, but also consists of having their file put in front of an underwriter as if the buyer were already in contract. This allows buyers to confidently make offers without a loan contingency. This makes their offers more competitive and enables them to get into contract on the house they fall in love with.


Purchasing a property can be complicated. We have designed our approach to loans so that we can be your partner in the process. When you are ready to make the leap into the homeownership market, let us help you with your approval.