Get Qualified
Getting qualified before you apply for a loan
can help you understand how much you can borrow.
When buying a house, you may get pre-qualified or
pre-approved. You can typically get pre-qualified
over the phone or on the Internet in a few minutes.
A pre-qualification is not as beneficial as a pre-approval
where you have to go through a more rigorous process
which includes verification of your credit, income,
assets and liabilities. It is highly recommended that
you get pre-approved before you start looking for
a house. This will help you:
- Find
out the maximum house you can buy, so you don't
waste time looking for properties you can not afford.
- Puts
you in a stronger position when you are negotiating
with the seller, because the seller knows that your
loan is already approved. Helps you close quickly,
since your loan is already approved.
Obtain Loan Approval
Once your
loan application has been received we will start the
loan approval process immediately. This involves verifying
your:
- Credit
history
- Employment
history
- Assets
including your bank accounts, stocks, mutual fund
and retirement accounts
- Property
value
Based
on your specific situation, additional documents or
verifications may be required. To improve your chances
of getting a loan approval:
- Fill
out the loan application completely.
- Respond
promptly to any requests for additional documents.
This is especially critical if your rate is locked
or if you plan to close by a certain date.
- Do not
make any major purchases. Do not buy a car, furniture
or another house till your loan is closed. Anything
that causes your debts to increase might have an
adverse affect on your current application.
- Do not
move money into your bank accounts unless it can
be traced. If you are receiving money from friends,
family or other relatives, please contact us.
- Do not
go out of town around the closing date. If you do
plan to be out of town when your loan is expected
to close, you may sign a power of attorney, to authorize
another individual to sign on your behalf.
Close the Loan
After your
loan is approved, you will be required to sign the
final loan documents. This will normally take place
in front of a notary public. Be prepared to:
- Bring
a cashiers check for your down payment and closing
costs if required. Personal checks are normally
not accepted.
- Review
the final loan documents. Make sure that the interest
rate and loan terms are what you were promised.
Also, verify that the name and address on the loan
documents are accurate.
- Sign
the loan documents.
Your loan will normally close shortly after you have
signed the loan documents. On refinance and home equity
loan transactions federal law requires that you have
3 days to review the documents before your loan transaction
can close.
