It is very important that you, as a buyer, be preapproved by a reputable lender. Not only does this help establish parameters for home prices and closing costs for you, but it makes you a stronger, more credible buyer in a competitive real estate market. Most sellers won’t look at an offer on their property without a strong preapproval letter. To begin the process, contact a lender recommended to you. I have several lenders I work with regularly, who are highly competent, creative and extremely competitive on interest rates and fees. An initial phone conversation will get things started. The loan officer will need to know your income & debt , and will pull a copy of your credit report. You can get a good sense of what you’re qualified for during this initial conversation. The loan officer will ultimately need from you the following for documentation: 2 years of tax returns and W-2’s; Last 3 bank statements for all accounts; Most recent month’s pay stubs. Make sure when discussing closing costs with any lender, to ask for a ‘good faith estimate’ and that it include: closing costs, prepaids and escrows.