Pre-qualification basically is a step taken to figure out exactly what kind of program you are going to put that individual in. Pre-qualification is based on the income, and what their long-term goals and short-term goals are in the home. So a pre-qualification is kind of like a pre-screening to just figure out which program exactly we are going to put them on. We are trying to make the most economic sense and put them in a good financial situation. We won't just throw somebody into a loan and then six months later you have your house foreclosed because you couldn't make the payment. So pre-qualification is actually putting an individual in a program.
