If you are first time home buyer or maybe you just didn't know there was a difference between pre-approval and pre-qualification. Well I'm going to make it simple for you today.
Pre-Approval is an informal process by the lender to get basic information from you like your assets, income, and liabilities. These are based on what you tell the lender and this is an important time to be upfront with your lender and provide them with all the information as accurate as possible.
Pre-Qualification is the more formal than the pre-approval. During this process you will provide copies of bank statements, pay stubs, you will sign an application for a mortgage and your credit will be pulled. There are fees associated with this portion of the loan process.
If you know you are wanting to purchase a home it's good to meet with a lender before you start shopping. This way you know what you can afford and you won't waste your time or your real estate agent's time.
For a more in depth article of the difference between the two you can go HERE