What is the status of a borrower who has completed a loan application and had it reviewed and approved?

The status of a borrower who has completed a loan application and had it reviewed and approved is best described as pre-approval. Pre-approval indicates that the lender has assessed the borrower's financial situation, such as credit history and income, and has determined that they qualify for a specific loan amount based on the information provided. This step is crucial in the home-buying process, as it gives the borrower a clearer understanding of their budget and demonstrates to sellers that they are serious and capable of securing financing.

In contrast, pre-qualification refers to an initial assessment based mostly on self-reported information without thorough verification, while final approval involves completing all underwriting processes after a property has been identified and the lender has secured all necessary documentation. Application status is a general term that does not specify the level of assessment completed regarding the loan application. Thus, pre-approval is the appropriate and specific term that reflects the advanced stage of loan assessment achieved by the borrower.