Purchasing a new home? Congratulations on your decision to buy a new home! There are many important things to consider throughout the process, especially if you're a first-time homebuyer.

There are many reasons why you should get PRE-APPROVED before shopping for a new home:

  • Your first home
  • Your second/vacation home
  • An investment property
  • Upsizing or downsizing

So before you make an offer, all Realtors will ask you for a loan pre-approval. This will help you to get an accurate idea of how much of a home you can afford. Once you speak to your lender and have the pre-approval on hand, you can begin your home search and ensure your hunt for a new house is truly within your price range and your designated city/region.

Water and Power Community Credit Union (WPCCU) will review and qualify you based on a loan program to determine the loan amount you can afford to purchase a home.
Once you are Pre-Approved, it will indicate the approved loan amount that you have qualified for to purchase a home*. During your search for a new home, this letter will provide confidence when you present it to Realtors indicating you have been qualified to purchase a home by a lender.

This letter does not guarantee the loan because there may be other required variables to complete the loan processing once you open escrow**. However, this letter carries significant proof, especially to other parties involved in the real estate transaction, that you are a serious buyer.  

How Does a Mortgage Pre-Approval Work?

  • Real Estate Application (Form 1003)
  • Income verification 
  • Work history 
  • Credit history
  • Asset verification

WPCCU will generally start the pre-approval process once you’ve completed the online mortgage loan application by clicking apply button. You may also visit one of our branches or call us to complete the application. Once the application is received, we will proceed by asking basic information about you and your financial history. We will obtain your credit and work history information, as well as your financial obligations. Our team will make a preliminary determination in writing stating that you are pre-approved for a specific loan amount subject to conditions outlined in the Pre-Approval letter.

Lenders, including WPCCU, may require additional income and asset verification as well as other required conditions before a mortgage loan will be executed. 


*    WPCCU’s pre-approval letter is valid for 120 days.
**   A pre-approval letter is not a guarantee of a specific rate or term, an offer to lend, or a commitment to make a loan and is not an application for credit nor does it guarantee that an offer you “make” on a home will be accepted by a seller.