It's a lot easier to buy a home if you know in advance that you will be approved. You can arrange with most lenders to prequalify for your mortgage.

Here's what to do:

• Make an appointment to see your lender. Take your financial information with you, such as bank statements and W-2 forms, as well as paycheck stubs.

• The mortgage company will run your credit report and review your documents. At that time, you will be able to discuss different financing options and decide which type of loan is best for you.

• Most lenders will write you a prequalification letter that will let the real estate agent or the seller know that you have done your homework - and that you are a preferred customer.