The Loan Process:
1. Pre-Qualify for a Loan
You will be required to provide financial information, including income and debts, so that a mortgage company can determine how much of a home you can afford. The mortgage company will then issue a letter stating the loan amount for which you pre-qualify.
2. Select a Loan ProgramMortgage companies have knowledgeable loan officers who will help you understand the different loan programs that are available to you.
3. Complete the Loan Application
The Mortgage Company approval process begins with you completing and submitting an application through your loan officer, who will assist you with this step. At this time, you will be asked for numerous supporting documents, some of which are listed below. Once your loan officer has received the application and the documentation, the file will be handed to the processing department.
The following will be required on most loans:
- Name and address of employers over the last two years
- W-2 forms
- Pay Stubs for previous 30 days
- Tax Return Statements
- Bank Statements
- Quarterly Statements (401k, IRA, Mutual Funds etc...)
4. Processing the Loan Application
The Mortgage Company's processing department verifies the accuracy of the information you provided in your application. In addition, the processor will review your credit report, order an appraisal, title commitment, and other third-party information. If problems or questions arise regarding the information you provided, our processors will work with you to get the correct information.
5. Underwriting the Loan
Once the application is processed, an underwriter will examine the file to certify that it conforms to industry standards and that the appraisal, survey, title commitment and other documentation is acceptable.
6. Loan Approval Process
Throughout the entire loan process, the mortgage company will do everything we can to approve your loan application. When your loan application is approved, the information will move to the closing process.