How Long Does Pre-Approval Last? Validity, Cost, Credit Impact and Renewal

By Andrew Paterson

How long does pre-approval last? With most Australian lenders, somewhere between 60 days and six months. Your lender sets the exact window, and it appears on your pre-approval letter.

The range is wide because each lender sets its own rules. A 60-day window and a 180-day window can decide whether you’re ready to bid on auction day.

This guide covers:

• what pre-approval is
• how validity differs between lenders
• what it costs
• how it affects your credit file
• what to do before it runs out

What pre-approval actually means

Pre-approval is a lender’s indication of how much it may lend you. It’s based on your income, expenses, debts and savings, and it’s assessed before you’ve chosen a property.

ANZ describes it as “an obligation-free way to estimate what you are able to borrow from a lender before you make an offer on a property.”

What pre-approval gives you:

• A realistic price ceiling for your search
• Confidence to make an offer or bid at auction
• A head start on paperwork, because most of your documents are already with the lender

What it doesn’t give you:

• A guarantee of final approval
• A locked-in interest rate
• Protection if your finances change

Final (unconditional) approval still depends on three things: a satisfactory valuation of the property, the lender’s credit policy at that time and no material change in your circumstances.

You’ll also hear the term “conditional approval”. Most Australian lenders use the two terms interchangeably. Our guide to pre-approval vs conditional approval explains how pre-approval, conditional and unconditional approval differ at each stage.

How long does pre-approval last with different lenders?

ASIC’s MoneySmart says pre-approval lasts 3 to 6 months. That’s the government’s broad consumer guidance. Lenders don’t have to follow it.

In practice, each lender publishes its own policy. Here’s how several compare:

Lender or source	Initial validity	Extension
ASIC MoneySmart (general guidance)	3 to 6 months	Varies by lender
CommBank	Up to 90 days	Renewal available after reassessment with updated income and commitments; confirm the extension term with CommBank
Westpac, NAB and ANZ	Generally around 90 days	Check current policy with the lender (Westpac says you may be able to extend for another 90 days)
Qantas Money	60 days	Once, for another 60 days with updated financials (120 days in total)
Some other lenders	Varies (MoneySmart’s general range runs to 6 months)	Varies

Two points matter more than any table:

1. Your letter governs. The expiry date and conditions in your own pre-approval letter override every general figure, including the ones above.
2. Policies change. Lenders can revise validity and extension rules without notice. Confirm the current terms when you apply.

Is home loan pre-approval free?

Generally, yes. ANZ puts it simply: “Generally, getting pre-approval shouldn’t cost you anything.” The other major lenders take the same approach.

Pre-approval is also non-binding. You’re not obliged to take the loan, and you can walk away if your search changes direction.

Arranging pre-approval through a broker is normally free to you as well. Lenders pay brokers a commission when a loan settles, and your broker’s credit guide must disclose how they’re paid.

The real cost of pre-approval isn’t money. It’s the entry it can leave on your credit file, and that’s where people get caught out.

Does pre-approval affect your credit score?

For most lenders, yes, a little. A full pre-approval application usually triggers a hard credit enquiry.

Westpac, for example, records every conditional approval request on your credit history. It records the request whether the application is approved or declined.

Industry estimates suggest:

• A single hard enquiry may cost about 5 to 10 points, though credit reporting bodies don’t publish a set figure. One source puts it at 5 to 15.
• The enquiry stays on your credit file for five years under Australian credit reporting rules.
• The effect on your score is usually modest and tends to ease over the following months, even though the record remains.

One enquiry is rarely a problem. The risk comes from several enquiries in a short window.

Why multiple applications add up

Say you apply directly with three lenders in a fortnight to compare offers. That creates three hard enquiries.

At 5 to 10 points each, your score could drop by 15 to 30 points. Lenders may also read a cluster of enquiries as a sign you’re struggling to get credit.

The same applies if your pre-approval expires and you start fresh with a different lender instead of extending.

Soft checks vs hard enquiries

Some lenders offer a quick eligibility check or borrowing estimate. These use a soft check or no credit check at all, so they don’t usually affect your score.

They also don’t carry the weight of a formal pre-approval. Agents and vendors won’t treat them the same way.

For the full mechanics of enquiries and Comprehensive Credit Reporting, read our post on how your credit score works.

What happens when pre-approval expires?

Once the date on your letter passes, the pre-approval lapses. The lender is no longer indicating it will lend you that amount.

You then have two options:

• Extend it, if your lender allows extensions and you’re still within the window
• Reapply, with the same lender or a different one

Extensions are not automatic. You usually need to ask before the letter expires, and the lender will want updated documents.

Some lenders cap extensions at one. Qantas Money allows one further 60 days, and Westpac says you may be able to extend for another 90. After that, you need a new application.

An extension can change your number, not just your date

Most people miss this part. CommBank re-checks your income and financial commitments when you renew, and interest rates aren’t guaranteed under conditional pre-approval, so your borrowing limit may change.

Other lenders work in a similar way. They re-check your income, expenses and debts against current conditions.

Worked example

Here’s how timing and reassessment can interact:

• A couple receives pre-approval for $640,000 on 3 March. It’s valid for 90 days and expires around 1 June.
• In mid-May they find a home going to auction on 14 June, after their expiry date.
• They request an extension straight away and supply fresh payslips and bank statements.
• Since March, they’ve taken on a $550-a-month car loan, and rates have moved up.
• The lender extends the pre-approval, but the new limit comes back at $610,000.

Their bidding ceiling has dropped by $30,000.

They asked about four weeks before the auction instead of the week of it. That gave them time to adjust their price range and avoid bidding beyond what they could borrow.

These figures are illustrative only. Your result depends on your own finances and the lender’s policy at the time.

How to renew pre-approval: a pre-expiry checklist

If you’re still searching as your expiry date approaches, work backwards from that date.

1. Check your letter. Note the exact expiry date and whether your lender allows an extension.
2. Make contact 3 to 4 weeks before expiry. Ask your broker or lender what they need and how long reassessment takes.
3. Gather fresh documents. These are usually recent payslips, recent bank statements and an updated list of debts and credit card limits.
4. Flag any changes. A new job, reduced hours, a new car loan, a higher card limit or a baby on the way can all affect the outcome.
5. Hold off on new credit. Avoid applying for buy now pay later accounts, personal loans or new cards while the extension is being assessed.
6. Get it confirmed in writing. Make sure the extension is approved before the original letter lapses, and check the new limit.

If expiry lands mid-auction campaign or mid-building inspection

Timing gets tight when the property you want lines up with your expiry date. Weigh these points:

• Auction: A sale at auction is usually unconditional, with no cooling-off period. If you bid on a lapsed or reduced pre-approval and finance doesn’t follow, your deposit is at risk.
• Private sale with a finance clause: A finance condition gives you some protection. You still need formal approval within the clause’s timeframe.
• Building and pest inspections: These can push an offer back a week or two. Build that delay into your timeline.

If an auction falls within a fortnight of your expiry date, start the renewal conversation when you shortlist the property. Don’t wait until you’ve registered to bid.

How a broker manages renewal

Much of the credit file risk comes from going from lender to lender. A broker assesses your situation against lender policies before anyone lodges an application.

When we arrange pre-approval at Aussiewide, we aim to:

• Match you with a lender whose policy fits your income, deposit and timeline, so one application does the job
• Weigh the validity window as well as the rate, particularly if your search may run long
• Diarise your expiry date and contact you before it lapses
• Prepare and lodge the extension paperwork ahead of the deadline
• Work through whether extending or reapplying makes more sense if your circumstances have changed

A longer validity window sometimes matters more than a slightly sharper rate. Sometimes it doesn’t.

The answer depends on how far along your search is, how stable your income is and what may change over the next few months. We’ll assess those factors with you.

Important information

• This article is general information only. It is not personal financial, credit or legal advice. Individual circumstances and lender policies vary, so have a licensed broker or lender confirm terms before you act.
• Pre-approval is conditional and does not guarantee final (unconditional) loan approval. It remains subject to a satisfactory property valuation, the lender’s credit policy at the time and no material change in your financial circumstances.
• Individual lenders set validity periods, extension rules and costs, and they can change without notice. The expiry date and conditions in your own pre-approval letter always override any general figure quoted here.
• Credit score figures are general industry estimates. Actual impact depends on your credit history, the credit reporting body used and the scoring model applied.
• This content reflects publicly available lender and ASIC MoneySmart information as at November 2026. Check current lender terms before relying on it.

Frequently asked questions

How long does pre-approval last in Australia?

ASIC’s MoneySmart guidance says 3 to 6 months. Individual lenders set their own periods. CommBank and the other major banks generally offer around 90 days, and Qantas Money offers 60 days. The expiry date on your own letter is the one that counts.

Is home loan pre-approval free?

Generally, yes. Most lenders, including ANZ, don’t charge for pre-approval. It’s also obligation-free, so you don’t have to proceed with the loan.

Does pre-approval affect my credit score?

A full pre-approval application usually creates a hard enquiry. Industry estimates put the impact at roughly 5 to 10 points per enquiry, and the record stays on your file for five years. Several applications in a short period add up, so choosing the right lender first time helps.

How do I renew my pre-approval?

Contact your broker or lender 3 to 4 weeks before expiry and supply updated payslips, bank statements and details of your debts. Many lenders allow only one extension, and they reassess your borrowing limit using current rates.

What’s the difference between pre-approval and conditional approval?

Most Australian lenders use the two terms interchangeably. Our dedicated guide to pre-approval vs conditional approval explains each approval stage in detail.

What happens if my pre-approval expires before I buy?

The pre-approval lapses and the lender is no longer indicating it will lend you that amount. You’ll need to extend it, if your lender allows that, or reapply. A new application may mean another credit enquiry and a different borrowing limit.