By Jessica Schwartz, REALTOR® & Loan Originator · October 20, 2026
Getting pre-approved is the first real step to buying a home, and in today’s Treasure Coast market it’s also one of your best negotiating tools. Here’s exactly how it works, what you’ll need, and the mistakes to avoid.
Pre-qualified vs. pre-approved
A pre-qualification is a quick estimate based on information you provide. It’s useful for a ballpark number, but sellers don’t give it much weight.
A pre-approval means a lender has actually pulled your credit and reviewed your income and asset documents. It tells you what you can borrow and shows sellers you’re ready to buy. When there are multiple offers, or when you’re negotiating a price reduction, a solid pre-approval makes a real difference.
Step 1: Know your monthly comfort zone
Before you look at loan amounts, think about the monthly payment you’re comfortable with. In Florida, your payment isn’t just principal and interest. It also includes:
- Property taxes (and the homestead exemption if it’s your primary home)
- Homeowners insurance, and flood insurance if required
- HOA dues and, in many newer communities, a CDD assessment
- Mortgage insurance on some loans with less than 20% down
This is where having your REALTOR® and loan officer be the same person helps: I can run the full monthly number on specific homes, not just a generic estimate.
Step 2: Gather your documents
| If you’re… | Typically have ready |
|---|---|
| Salaried or hourly | Last 30 days of pay stubs, last two years of W-2s, two months of bank and investment statements, photo ID |
| Self-employed | Last two years of personal and business tax returns, a year-to-date profit and loss statement, two months of bank statements |
| Retired | Social Security and pension award letters, retirement account statements, recent bank statements |
| Relocating | An offer letter or proof of income continuing after the move, plus your usual income documents |
Your lender may ask for more depending on your situation, such as divorce decrees, explanations of large deposits or rental income documentation.
Step 3: Understand what lenders look at
- Credit: Your credit score and history affect which loan programs you qualify for and your rate.
- Debt-to-income ratio (DTI): Your total monthly debts, including the new house payment, compared with your gross monthly income.
- Income stability: Usually a two-year history of steady income, though there are exceptions.
- Assets: Money for the down payment, closing costs and sometimes reserves after closing.
Step 4: Compare loan options
Common options for Florida buyers include conventional loans (some with as little as 3% down for qualified buyers), FHA loans (3.5% down), VA loans for eligible veterans and service members (often no down payment), and USDA loans in eligible areas. Each has different rules for credit, mortgage insurance and property condition. As a mortgage broker, I can compare programs from multiple lenders to find the right fit.
Step 5: Keep your approval on track until closing
Your pre-approval is based on your finances at the time you apply. Until you close:
- Don’t open new credit cards or finance a car or furniture
- Don’t change jobs without talking to your loan officer first
- Don’t move large sums of money without a paper trail
- Keep paying every bill on time
How a pre-approval helps you negotiate right now
With more inventory and many price reductions across the Treasure Coast (see my latest market report), sellers are weighing offers carefully. A strong pre-approval lets you ask for more, such as a lower price, seller-paid closing costs or a rate buydown, because the seller knows your financing is solid.
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General information, not legal, tax, insurance or financial advice. Not a commitment to lend; all loans subject to credit approval and underwriting. Jessica Schwartz, REALTOR® & Broker Associate, RE/MAX Gold. Each RE/MAX office is independently owned and operated. Loan Originator NMLS #2704014, RMI Brokers, Inc. dba One Brokerage, NMLS #2142653. Equal Housing Opportunity.