A pre-approved mortgage allows you to get qualified for a mortgage before purchasing your home. This allows you to know exactly the price range your home can be in, as well as the monthly payments and interest you will be paying.

A pre-approved mortgage also provides you with a 120 day guarantee. This means that from the day that you are pre-approved for a mortgage, your interest rate will be protected for up to 120 days. In case rates rise during that 120 day period then you will be guaranteed the lower rate at which you were approved.

Lastly a pre-approved mortgage provides you with ammunition when negotiating an offer on the purchase of your home. Possessing the ability to place a firm offer on a property indicates to the seller that you are a serious buyer and provides you with leverage when negotiating.