If you haven’t done so already, contact a lender for a pre-approval. You can even start the process online by finding a local lender on Zillow.

A pre-approval is a letter from a lender that indicates you can qualify for a loan of a certain amount. It shows your agent and sellers that you’re a serious buyer and can be advantageous in hot markets where sellers may be considering several offers.

To pre-approve you, the lender will ask some questions and pull your credit report. Your credit report shows your credit accounts, payment history, and your credit score. Lenders use this information to determine how much credit you can qualify for. Knowing this amount will save you time since you’ll be able to focus on homes in your price range.