$100 dollar bill on a ring finger

What Is a Mortgage Commitment Letter?

The Short Version

  • A mortgage commitment letter is a document that shows sellers you’re a serious buyer because you have proof a lender is interested in lending you money
  • From the commitment letter to closing, your timeline can vary based on the closing date, how fast the process goes and more
  • A mortgage commitment letter isn’t binding. A lender can show initial interest and decide to deny your application


See what mortgage you qualify for

NMLS #3030

*See what you qualify for

We teamed up with Rocket Mortgage to help you get house-hunting sooner! Answer a few questions to get your commitment-free, personalized rate 💸

Get Started by selecting an option below

What kind of loan are you interested in?

What to expect

Tell us what you need and a representative from Rocket Mortgage will give you a call. You’ll have support at every step.

What kind of property do you want to purchase? What kind of property do you own?

Why we’re asking

Rocket Mortgage® can provide a more accurate rate estimate if they know what kind of property you’re interested in.

NMLS #3030
How do you use your property? How would you use this property?

Why we’re asking

Having a little more information upfront helps Rocket Mortgage® provide a personalized rate faster.

NMLS #3030
When are you planning to buy?

Still House Hunting?

Hope you find your dream home soon! In the meantime, it’s never too early to know your rate.

NMLS #3030
Are you a first-time home buyer?

It’s all good:

Whether it’s your first – or second property – Rocket Mortgage® can provide you with a rate estimate.

NMLS #3030
Do you have a second mortgage?

It’s all good

If you have a second mortgage, it’s no problem. Letting us know helps to customize your rate.

NMLS #3030
What is your credit score?

Don’t know your score?

Don’t sweat it! Make your best guess. Credit scores range from 300 (low) to 850 (excellent).

NMLS #3030

Tell us a bit more about you

What happens next?

A representative from Rocket Mortgage® will be in touch to discuss your commitment-free, personalized rate. Then you can decide whether you’d like to lock it in!

NMLS #3030

Enter your contact info so we can get in touch

By submitting your contact information you agree to our Terms of Use and our Security and Privacy Policy. You also expressly consent to having Rocket Mortgage, our Family of Companies, and potentially our mortgage partners contact you about your inquiry by text message or phone (including automatic telephone dialing system or an artificial or prerecorded voice) to the residential or cellular telephone number you have provided, even if that telephone number is on a corporate, state, or national Do Not Call Registry. You do not have to agree to receive such calls or messages as a condition of getting any services from Rocket Mortgage or its affiliates. By communicating with us by phone, you consent to calls being recorded and monitored.

NMLS #3030
Your information has been sent!

A home loan expert from Rocket Mortgage® will reach out to you soon with your personalized rate.

Your information has been sent!

A refinance expert from Rocket Mortgage® will reach out to you soon with your personalized rate.

You’ve chosen your lender, and you’ve got your eyes on the perfect house. 🏡👀

The next step is to put an offer in. 

Including a mortgage commitment letter with your offer can help you stand out to a seller. The letter shows that you’re a serious buyer, and a lender has promised to finance your home buy. 

So, what’s a mortgage commitment letter and how do you get one? We can’t wait to tell you all about it! We’ll explain how a mortgage commitment letter is different from a mortgage prequalification or preapproval. And we’ll explore the variety of mortgage commitment letters you’ll find in the mortgage universe. 

What Is a Mortgage Commitment Letter?

Mortgage commitment letters are like the engagement rings of mortgages. 💍

They are a promise from your mortgage lender to lend you the money you’ll need to buy a home.  

Like an engagement, a mortgage commitment letter is an important step toward sealing the deal (in this case, buying a home). The letter shows sellers that you’re a serious buyer. It’s proof that a lender is interested in lending you money. 

Spoiler alert: A mortgage commitment letter is not the equivalent of “putting a (wedding) ring on it.” It’s not a mortgage contract, so it’s not legally binding.

Lenders issue mortgage commitment letters after deciding how much they’ll lend you, and an underwriter has thoroughly reviewed your finances. A commitment letter will include how much money you’re eligible to borrow, what type of loan you’re getting and other loan terms (think: the interest rate and length of the loan). 

Make sure to know what your monthly costs will be on your mortgage before getting a mortgage commitment letter. You’ll want to know the right amount of money the mortgage lenders will lend you. Just plug away on our mortgage calculator.

Mortgage Calculator

What Might Your Commitment Letter’s Loan Terms Look Like?

Sample commitment letter

Each lender’s mortgage commitment letter may look slightly different, but they all share a few crucial details. Let’s check out a sample final approval mortgage commitment letter.

Lender: Earl Grey Home Lenders

Borrower: Harper Taylor 

Date: 01/31/2022

Loan number: 9876543

Home address: 5678 Elementary Street, Atlanta, GA 30301

Dear Harper Taylor,

You have been approved by Earl Grey Home Lenders for a $145,000 mortgage. This loan commitment expires on 01/31/2023. You must close on a real estate property prior to this date to remain eligible for the mortgage loan. This loan is contingent on the terms and conditions outlined below. 

Loan term: 180 months

Loan type: Conventional

Product: Fixed-rate mortgage

Loan purpose: Home purchase

Interest rate: 5%

Interest rate lock end date: 01/31/2023

Origination fee: $1,000

You’ve qualified for a fixed-rate mortgage loan to be paid in 180 equal payments of $1,147. This mortgage will require an escrow account for property taxes and home insurance.

Both parties signing this document acknowledge and understand the mortgage agreement as laid out above. 

Borrower’s signature:

Lender’s signature:

What Are the Different Types of Commitment Letters?

There are two types of mortgage commitment letters: conditional approval and final approval. Most buyers will get a conditional approval letter. So, what’s the difference – and which one gives you that edge to finally close on a home?

Conditional approval

Conditional approvals are issued before the offer process. A conditional approval letter indicates that a lender is willing to lend you the money you want to borrow, but there are a few conditions you’ll need to meet first. Because your approval is conditional, the loan isn’t guaranteed. 

Every conditional commitment letter should contain the following:

  • A statement of preapproval 
  • The loan type 
  • The loan amount
  • A commitment date

The letter will also include the conditions that make your approval conditional. Here are some of the most common conditions you’ll find on a conditional commitment letter: 

  • Title verification
  • Appraisal
  • Homeowners insurance

Final approval

Final approval can be the next step once the conditions in your conditional approval letter are resolved, and you’ve made an offer on a house. Our sample letter (scroll up) is an example of a final approval letter. This type of letter is more specific about the details of the loan. 

Every final approval commitment letter should contain the following:

  • The loan type
  • The loan amount 
  • A commitment date
  • The loan term 
  • The interest rate
  • The origination fee
  • Escrow details

How Is a Mortgage Commitment Letter Different From Other Approvals?

When you’re applying for a new job, who are you going to ask to be your reference? Your direct manager or your office bestie who works in a totally different department? In short, a mortgage commitment letter is a stronger reference than a mortgage preapproval or prequalification

There are three tiers of mortgage approvals. They range from basic to robust. And on a scale of basic to robust, loan commitment letters are the most valuable approvals to have – and the hardest to come by. Lenders (and sellers) put more weight behind a mortgage commitment letter than they do with a prequalification or preapproval letter. 


Prequalification is basic. It’s a quick, informal look at your finances. A mortgage lender uses the information you give them to create a loan estimate and outline which loans you may qualify for. Prequalifications have earned their “basic” designation on our approval scale because, at this stage, it’s the lender taking your word for it. None of the information you provide is verified. 


Preapprovals are a step-up from prequalifications (a big step-up). During preapproval, a lender takes an in-depth look at your finances, verifying your finances and running a hard credit check. Make no mistake, a preapproval letter is still an estimate, but it’s a far more accurate estimate of what you can borrow, what interest rate you qualify for and other loan terms. 

There are a few steps that go into getting preapproved for a mortgage, and the process takes much longer than prequalification. It’s a strong letter to have in hand because it broadcasts to all the home sellers out there that a lender has verified your finances and credit history. What they see on the preapproval letter is likely pretty close to what you’ll be approved for. 

To get preapproved, you’ll need to fill out a mortgage application and provide supporting documents, like bank statements and tax returns. 

Mortgage commitment letter

Once the underwriting process is completed, your lender can issue a loan commitment letter. Think of the letter as your lender officially agreeing to finance your home purchase. 

The commitment letter is proof that, financially speaking, you’re good to purchase homes in your price range. With that kind of validation, you should feel confident about making an offer on that house you’ve had your eye on. 🏡👀

Remember, a commitment letter is not legally binding. It’s more of a pledge by the lender to lend you money. Ultimately, nothing is finalized or legally binding until you sign the mortgage contract. Until that happens, you or the lender can back out of the sale if circumstances change.

What Happens After You Get a Mortgage Commitment Letter?

The length of time between final approval and closing can vary based on many factors, including your closing date, when you filled out the mortgage application and more. If you get a conditional commitment letter, that can tack time onto the process while you work to meet the conditions outlined in the letter. 

The next major step after receiving the mortgage commitment letter is fulfilling any of the conditions and starting the actual purchase process. You’ll need to submit an offer, negotiate and set a closing date. Before your loan gets final approval, a lender will require an appraisal of the house. The appraisal will tell you and the lender how much the house is worth. 

Generally, a lender won’t let you borrow more than the appraised value of the house. And that remains the case even if you got approved for a larger loan. 

The appraisal requirement could help keep you from paying more than the home is worth, which is beneficial in the long run. 

Congratulations on Your Commitment 

A mortgage commitment letter will give your purchase offers more weight because your lender has made that financing pledge. While it’s not a legally binding contract, a mortgage commitment letter does send a strong message to sellers that you and your lender are prepared to walk to the closing table. 

Home is worth it.

Take the first step toward owning a home. You’ll be glad you did.

You Should Also Check Out…