What lenders normally assess
A lender may review income stability, household expenses, existing debts, credit conduct, deposit history and identification. Requirements vary with employment type and application complexity.
What conditional approval means
Pre-approval is generally subject to conditions. Final approval can still depend on updated documents, a satisfactory property valuation, unchanged circumstances and the lender policy that applies at the time.
Before making an offer
Check the approval amount, expiry date and outstanding conditions. Speak with your conveyancer about contract protections, including whether a finance condition is appropriate.
Changes that may affect approval
New credit, reduced income, increased expenses, missed repayments, a different property type or changes in lender policy may affect the final assessment.
Common questions
Questions first home buyers ask
Does pre-approval guarantee my home loan?
No. It is usually conditional. Final approval depends on the lender completing all checks, accepting the property and confirming that the application still meets policy.
How long does pre-approval last?
The validity period varies by lender. Check the expiry date and ask what information will need to be refreshed if your search takes longer.
Can I make an unconditional offer with pre-approval?
Pre-approval is not the same as unconditional approval. Obtain legal advice about contract conditions and understand the financial risk before waiving finance protections.