Quick Overview of the Mortgage Process
Step 1: Mortgage Pre-Approval
This will help you better understand how much home you can afford.
The first step of the process is for us to pull your credit report and to review your current financial situation (particularly your income, assets and debts). This will help us determine how much you can qualify for. We will then provide you with a pre-approval letter that will show how much home you can afford. This will be very useful while you are house hunting.
Step 2: Processing & Underwriting
This is essentially where the tires meet the track.
Once an offer has been accepted on your home, we will begin collecting a variety of documents such as bank statements, tax records, employment letters and more. A processor will organize your documentation to ensure we have received what is necessary to submit your file to underwriting for review. The underwriter will then make sure the documentation you provided meets the guidelines of the loan program chosen.
Step 3: Final Loan Approval
These will be the most exciting three words you will hear.
CLEAR TO CLOSE! If you and the property being purchased meets all guidelines and requirements, the underwriter will issue a final approval and we can move forward with funding your loan. At this stage, you are almost a homeowner!
Step 4: Closing
This will be one of your most memorable moments.
During the final phase of the process, the closing department prepares all of your documentation (a.k.a. “loan docs”) and are sent to the attorney to prepare for closing. You will have the opportunity to review the final details of your loan, including loan terms, your projected monthly payments, as well as the amount you will need to pay in fees and other closing costs before your actual closing day. All that’s left now is to sign a bunch of documents and receive the keys to your new home!
And on your closing day, an actual person does a little happy dance.
Financing a home is a rewarding and exciting experience. It’s our goal to make sure you are so happy with our process that you tell your friends and family about it.