Is Your Mortgage Preapproval Real or Fake?
Is Your Mortgage Preapproval Real or Fake?
What Every Homebuyer Needs to Know in 2025
What Is a “Fake” Mortgage Preapproval?
A fake preapproval is one that looks official, but isn’t backed by the due diligence lenders should perform.
That means:
- No credit check
- No desktop underwriting (AUS)
- No verification of income or assets
Without these checks, your lender has no idea whether you can actually qualify for the mortgage.
You might feel confident, start making offers, pay for inspections, and then get denied. It’s more common than you think.
Fake or Real? How to Know If Your Mortgage Preapproval Will Hold Up
Real-Life Horror Story: When Preapproval Goes Wrong
A real estate agent recently shared a heartbreaking story. A buyer was told they were preapproved. Two days before closing, the lender finally pulled the buyer’s credit, and it revealed disqualifying issues. The deal collapsed.
The buyer lost time, money, and the dream home. The seller had to relist. Everyone lost.
And the lender? They walked away without consequence. That’s the problem.
Why Are Lenders Doing This?
One word: money.
Credit report costs have more than doubled in the last few years. Some lenders are:
- Avoiding the credit pull altogether
- Waiting until you’re in contract
- Hoping you won’t ask questions
They might be too afraid to ask you to cover the report, so they skip it entirely. But those small savings can cost you thousands if the preapproval doesn’t hold up.
What a Real Preapproval Looks Like
A real mortgage preapproval protects your time, money, and reputation.
Here's what it must include:
- A hard credit pull from all 3 bureaus
- Review and verification of income, assets, and employment
- Submission to AUS (Automated Underwriting System)
This kind of fully underwritten preapproval is the gold standard. It shows real estate agents and sellers that you’re not just browsing—you’re ready.
The Risks of a Weak or Fake Preapproval
- Deals fall apart days before closing
- You waste money on appraisals and inspections
- Sellers may not take your offer seriously
- Your agent’s reputation suffers
Don’t be the buyer who finds out the hard way. Verify your preapproval before you make an offer.
Red Flags to Watch Out For
If you hear any of the following, run:
- “We don’t pull credit until you’re in contract.”
- “Let’s do a soft pull for now.”
- “You don’t need AUS until later.”
- “We’ll check documents once you find a house.”
- “I just need a few details over the phone to get you preapproved.”
If your preapproval is based only on a phone call, it’s not real.
Why AUS (Automated Underwriting System) Matters
Some lenders argue they can “eyeball” a deal. But mortgage guidelines are complex and always changing. Even experienced loan officers get surprises when they finally run AUS.
Desktop underwriting checks hundreds of variables—from credit to income averaging. Without it, your preapproval is just a guess.
Lenders Aren’t Liable - You Are
Here’s the worst part: lenders face zero consequences when fake preapprovals blow up. You’re the one left holding the bag.
They don’t have to fund your loan. They don’t have to reimburse your lost money.
The risk is all on you!
How to Protect Yourself: Questions to Ask Your Lender
Before you accept a preapproval, ask these 5 critical questions:
- Did you pull my credit?
- Was it a soft pull or hard pull?
- How many credit bureaus did you check?
- Did you run my file through AUS (DU or LP)?
- Have you verified my documents?
If the answer to any of these is “no,” your preapproval may be fake.
Why Fully Underwritten Preapprovals Win
A fully underwritten preapproval makes your offer stronger and more attractive to sellers.
It tells them:
- You’re serious
- You’re financially ready
- You won’t back out because of financing
We provide real preapprovals—100% of the time. We don’t cut corners. We work for you.
Final Word - Respect Your Money, Demand the Truth
Fake preapprovals are disrespectful to your time and your wallet. Don't settle for a lender who does the bare minimum.
If you're a veteran, first-time buyer, or just trying to make smart decisions in a tough market, the right preapproval is your shield.
Ready to Get Preapproved the Right Way?
Call Jennifer Beeston’s team:
786-933-2077
Visit Zero Stress Mortgage
Book a call on Calendly
Check 800+ 5-star reviews on Google
Conclusion: Don’t Shop Without a Real Mortgage Preapproval
The housing market in 2025 will be competitive and full of hidden traps.
The biggest one? Trusting a fake preapproval.
Do your homework. Ask tough questions. And don’t risk your future on a lender who won’t verify your financial reality.
Your dream home deserves a real plan and a real preapproval to back it up.
Book Your Mortgage Consultation Now
Ready to take the next step towards your dream home? Book a consultation with Jennifer Beeston today!
Whether you're a first-time buyer or looking to refinance, Jennifer is here to guide you through the process with ease and clarity.
