Prequalification (PQ)

Overview 

• Qualified borrowers are invited to submit a prequalification application.
• A borrower and/or Mortgage Loan Officer (MLO) may submit the application for pre-screening using a waterfall approach.

Property Address

• The property address is authenticated and matched to a valid and eligible property.
• Note: The lender utilizes DataTree (First American) to verify property addresses.

ID Verification 

• The borrower’s identification is verified (see Identity Verification for details)
• This step ensures OFAC, KYC, and AML compliance.

Soft Pull of Credit

• The lender performs a soft pull of the borrower’s Equifax FICO 8 score to confirm the borrower meets minimum program requirements.

Valuation and CLTV

• The lender pulls a property valuation report and the CLTV is verified (see Determining Collateral Value for details)

Offer 

• The borrower is presented with a pre-qualified offer which must be accepted to continue.

Hard Pull of Credit

• Once a Prequalification offer is accepted, the borrower’s consent for a Hard Pull of credit is obtained for use in processing.