Finance
An Oklahoma buyer's pre-approval letter from a lender differs from pre-qualification in that pre-approval typically involves:
AA shorter process with less documentation
BActual verification of income, assets, credit, and employment, resulting in a conditional loan commitment — more reliable than pre-qualification which is based on unverified information✓ Correct
CNo credit check whatsoever
DOnly the buyer's word on income and assets
Explanation
Pre-approval involves full underwriting: verified income (pay stubs, tax returns), asset documentation, credit check, and employment verification. Pre-qualification is based on self-reported information only. Sellers prefer pre-approved buyers because it signals stronger financing certainty.
Related Oklahoma Finance Questions
- In a purchase money mortgage, the seller acts as the:
- Oklahoma's mortgage foreclosure on a standard mortgage (not a deed of trust) is typically:
- A balloon mortgage features:
- An Oklahoma homeowner who received a 2-1 buydown from the builder when purchasing their home should understand that:
- Oklahoma borrowers who have a loan balance of more than 80% LTV on a conventional loan and want to eliminate PMI should know that:
- A 'due-on-sale' clause in a mortgage requires:
- Which of the following best describes a buyer's debt-to-income (DTI) ratio?
- Private mortgage insurance (PMI) is typically required when the LTV ratio exceeds:
Practice More Oklahoma Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Oklahoma Quiz →