What is the difference between Pre-Qualified and Pre-Approved?

What is the difference.... (APPROVALS)... Between Pre-Qualified and Pre-Approved?

These are terms used when discussing the mortgage process. Pre-qualified is a less formal process where the loan agent gathers a minimal amount of information to determine whether you are qualified to purchase a home and an approximate amount that you may qualify for. Pre-approved is showing a specific home and amount that you are most likely to be approved for in the underwriting process where the mortgage company may fund the purchase.

The Pre-Qualification process helps a buyer to knowledgeably and confidently search the market to decide on what property one will have a good chance to purchase.