Home Loan Verification Process
I take pride in making the home loan verification process simple. We have the expertise and experience so you don’t have to be worried or intimidated with the mortgage process. We strive to educate and help you through your home financing options.
Pre-Approval
Pre-Approval is typically the first step in the mortgage loan process. Often, your Real Estate Agent will ask if you have been pre-approved. I can provide you a pre-approval letter once I review your financial information and go over the numbers with you so we can hit all of your financials goals.. The pre-approval letter will tell you the type of loan and purchase price you qualify for.
Initial Application
You may begin your official application once you have found a home and have a signed Purchase Contract by you and the sellers; however there are some cases where we want to get your application going before you go under contract, so we ensure a quick and smooth process once you go under contract.
Once your application is submitted, I will review all of the credit and financial information provided. My team and I will then have you sign the initial application package. The application package typically has between 26 and 38 documents for you to sign. These documents will include the interest rate, terms, and costs of your loan. We recommend that you closely review these documents.
This is also the time where my team will send you a checklist of items we need from you for your loan. The quicker we can get these items back from you, the quicker we can process your file.
This process typically takes 1-4 days.
Set-Up
During this phase my team requests documents from third parties. These items include: SSN verification, tax transcripts, verification of employment, title report, appraisal, and other regulatory compliance documentation.
This process typically takes 1-2 days.
Processing
After the documents in the set-up phase are ordered, your loan is passed on to the processor. Your processor will review all of the third party documents as they are received, along with the income and asset documentation you provided to confirm accuracy. They will review your appraisal to ensure that it is compliant and prepare the file to be underwritten and approved. Often, we may request additional documents from you at this stage.
This process typically takes 1-8 days.
Underwriting
The underwriter has the final say on if a loan will be approved. He/she will closely review income, assets, property, appraisal, and other regulatory compliance documentation to ensure that the file meets industry guidelines. Occasionally, we may request additional documents from you at this stage.
This process typically takes 1-4 days.
Closing
At least three days prior to closing, you will receive an initial Closing Disclosure (CD). This document will contain the settlement costs that are associated with your loan. Once the CD is signed and three days have passed, you are able close on your loan.
At closing you will meet with the title company to sign legal documents finalizing your agreement regarding the terms and conditions of your mortgage.
Funding
If you are purchasing a home, usually the day after you have signed the closing documents the funds will be disbursed, recorded, and title company will transfer ownership of the property to you; however we do offer same day funding if all parties can sign the necessary documents before 11 am.
If you are refinancing, most transactions have a three-day right of rescission after signing the closing documents. Once that time has passed, we can then fund the loan and the title company can record.