Step-by-Step Guide to Getting Pre-Approval in 2025

Getting Pre-Approval in 2025 is one of the most important steps to take before beginning your property search. Whether you're a first home buyer or upgrading in Bathurst or Lithgow, pre-approval gives you a clear idea of your borrowing capacity and strengthens your position when making an offer.

At Sparks Finance, your trusted mortgage broker in Bathurst and mortgage broker in Lithgow, we guide you through every stage of the pre-approval process so you're ready to buy with confidence.

What Is Pre-Approval?

Also known as conditional approval, pre-approval is when a lender gives you an estimate of how much you can borrow based on your financial situation. It’s not a final loan offer, but it means the lender is willing to lend you a certain amount—subject to property and verification checks.

Why Is Pre-Approval Important?

Gives you a clear budget while house hunting

Shows sellers and agents you’re a serious buyer

Speeds up the loan approval process after your offer is accepted

Helps identify and resolve any financial issues early

Step-by-Step Guide to Getting

Pre-Approval in 2025

Step 1: Speak with a Mortgage Broker

Start by reaching out to a mortgage broker in Bathurst or Lithgow who can assess your financial position, recommend suitable lenders, and help you prepare the required documents.

Step 2: Understand Your Borrowing Power

Your broker will help determine how much you can borrow by assessing:
Income and employment
Savings and deposit
Existing debts and living expenses
Credit score
Preferred loan type and term

Tip: You can increase your borrowing power by reducing debt or increasing your deposit.

Step 3: Gather Your Documents

To apply for pre-approval, you'll typically need to provide:

Identification (e.g., driver’s licence, passport)
Payslips and/or tax returns
Bank statements
Evidence of deposit/savings
Details of current loans or debts

A broker ensures everything is accurate and complete to avoid delays.

Step 4: Choose the Right Lender & Loan Product

Not all lenders are equal. We'll help you compare:

Interest rates
Loan features (e.g., offset, redraw, fixed or variable)
Fees and turnaround times
First home buyer incentives or cashback offers

Step 5: Submit Your Pre-Approval Application

We lodge the application and liaise with the lender on your behalf. Most lenders issue a decision within 1–5 business days, depending on the complexity.

Step 6: Receive Pre-Approval

Once approved, you’ll receive a pre-approval letter, valid for 60–90 days. During this period, you can confidently shop for properties within your approved price range.