German Mortgage

Mortgage Pre-Approval: Why it’s important in Germany

When you first decide to purchase a home, you often start by visiting open houses. While that’s exciting, serious buyers should make their first appointment at a lender’s office. A mortgage pre-approval is a must for any buyer, especially in Germany. Being pre-approved allows you to show sellers that you afford buying the property, which is a vital first step.

Today’s real estate markets are competitive, especially in Germany’s top cities. Sellers strongly prefer buyers with pre-approval. Some sellers even refuse to enter into negotiations until the buyer can prove that they qualify for financing.

The pre-approval process also helps buyers learn how much they would repay monthly. It’s an opportunity to sit down with the lender and talk about your budget and your options to finance your home. The lender can also help you flag any credit issues early-on.  If you’d like to quickly find out how much house you can afford, you can use this mortgage calculator.

What is a mortgage pre-approval?


A mortgage pre-approval is an official process that helps you learn whether you’re qualified for financing. What’s more, the process reveals how much financing you would receive from the lender.

The pre-approval process is quite official and structured. The lender will ask you to complete a mortgage application. You will also provide the lender with all necessary documents.

Although pre-approval is an important step, it does not guarantee a loan. Even so, you can put your pre-approval letter in your offer to let sellers know that you are serious and are qualified.

Why should I get pre-approved for a mortgage?


There are many reasons why buyers benefit from mortgage pre-approval. First, a mortgage pre-approval certificate assures your seller that you’re a serious buyer and that you can afford purchasing the property. This would greatly facilitate the whole property buying process.

In a competitive market, including a pre-approval letter in your offer can help you beat out other interested buyers. In fact, sellers often request a pre-approval letter from all interested buyers who would need a mortgage in order to buy the property.

Pre-approval also helps you focus your search on properties in your price range. You will know exactly how much you can pay. This way, you’ll know right away if a property is in your budget. This will save you a lot of time and efforts in an already stressful process.

How to get pre-approved for your home loan?


With LoanLink, you can get a mortgage pre-approval certificate with a few simple steps:

  • Fill out our mortgage questionnaire with accurate information. This will take you less than 20 minutes.
  • Provide us with a few documents so we can check your income, assets liabilities. 
  • Once approved, we will send you the pre-approval certificate within 24 hours after you’ve submitted the required documents.

Your broker will give you the complete list of documents to provide. The most common documents include proof of income, expenses (monthly), and proof of deposit.

We are happy to answer any questions. Via email at [email protected] or by phone +49 (0) 30 5683 7535. You can also start with the LoanLink mortgage illustrator here:

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