Which of the following describes a borrower who has shown proof of their financials?

A borrower who has shown proof of their financials is best described as a pre-approved borrower. This status indicates that the borrower has provided the lender with necessary documentation regarding their income, assets, debts, and creditworthiness, allowing the lender to assess their financial situation in detail. During the pre-approval process, a thorough review occurs, which enables the lender to determine how much the borrower is eligible to borrow and can issue a written commitment.

This contrasts with a potential buyer, who may be interested in purchasing property but has not necessarily engaged in any financial assessment or provided documentation. A pre-qualifier, on the other hand, may have received a preliminary estimate of borrowing capacity based on self-reported financial details but has not yet gone through the scrutiny of a pre-approval. The term "not yet qualified" clearly indicates that the borrower has not begun or completed the process required to ascertain their financial eligibility for a loan, underscoring the difference between this status and pre-approval.