In Toronto’s competitive real estate market, having a pre-approval isn’t optional — it’s table stakes. Here’s exactly how to get one that actually helps you win.
What Is a Mortgage Pre-Approval, Really?
A pre-approval is a lender’s written confirmation (based on your income, credit, debts, and down payment) of how much they are willing to lend you and at what rate (for a limited time).
It is not a guarantee of final approval (that comes after the property is chosen and full underwriting happens).
Why a Broker Pre-Approval Is Stronger Than a Bank One
- Banks only show you their own products.
- A good broker shops many lenders and can often get better rates + more flexible terms.
- Our AI pre-approval includes an “approval probability score” that realtors and sellers respect.
Documents You’ll Need (Toronto 2026)
- 2 most recent pay stubs + letter of employment (or 2 years NOAs + T1s if self-employed)
- 3 months bank statements
- Proof of down payment (bank statements or gift letter)
- Government ID
- Recent mortgage statements (if refinancing or have existing debt)
AI Hack: Our system tells you in advance which documents will be most important for your specific situation so you don’t waste time gathering the wrong ones.
How Long Does a Pre-Approval Last?
Most lender pre-approvals are valid 90–120 days. Some monoline lenders now offer up to 150 days. Rate holds are usually 90–120 days as well.
How Technology and Brokers Can Support the Process
Pre-approval processes vary. Technology can assist with initial analysis, and licensed brokers can provide reviews and formal letters. Timelines and strength of the pre-approval depend on the lender and your full file.
Using a Pre-Approval in the Offer Process
A pre-approval letter from a reputable source can provide information to sellers about your financing position. The strength and details matter and vary by situation.
Common Questions
Does getting pre-approved hurt my credit?
A soft inquiry for pre-approval does not affect your score. Only the final application does a hard pull.
Can I get pre-approved with bad credit?
Lenders have different criteria. Alternative options may be available depending on your full circumstances, income, and down payment.
Should I get pre-approved with multiple brokers?
Multiple inquiries can affect your credit score. Discuss strategy with a broker.