A pre-approved mortgage certificate is a written commitment from a lender. It promises that the lender will give you a mortgage for a set amount of money, at a set rate of interest that is guaranteed for a set number of days. The commitment is made subject to a property assessment. The service is free and carries no obligation.

A pre-approved mortgage gives you an edge. Before you even go house hunting, you will know the size of your mortgage, the interest rate, and the size of your monthly mortgage payments. With your financing already mapped out, you can concentrate on finding the right home in your price range.

A pre-approved mortgage also puts you in a strong bargaining position when you make an Offer to Purchase. If the seller wants to make a quick sale, you may be able to negotiate a price lower than the list price. This is because the seller knows you are a serious buyer. On the other hand, if several people are bidding on the home you want, you may decide to offer to purchase at the list price, to beat out earlier offers.