- Get your documents & finances in
order.
- Get pre-approved to determine how
much you can borrow.
- Work with a
"recommended" loan officer to find
the best mortgage for you.
- Close your loan and settle
Here are the details:
1) Get your documents & finances in order.
You should start with reviewing your credit report. Your
credit report will be used by your prospective lender as a
measure of how you manage your finances. Good credit gets
you better rates and a stronger negotiating position for
terms. Most people are surprised at their report’s contents
because errors in reporting are common. Now is the time to
clean them up.
Also provide the following:
-Copy of two recent pay stubs the two most recent W2s
(If you are self employed, you need two years of tax returns
and a YTD profit and loss statement)
-Provide a copy of your current mortgage statement
-Verification of any additional income
-A copy of your homeowner’s insurance policy
-A copy of your deed
-Current loan provider
-For a home equity loan, provide a copy of the note on your
first mortgage.
-Title information
-Tax verification information
-Previous property assessments, if applicable
-If you own rental property, provide copies of the rental
agreements and two years of tax returns
-Letter from employer stating date of hire, position, salary
and year-to-date earnings
-Current value of your house
-Outstanding loan amounts
-Three months bank statements for each bank, IRA/401K, stock
and mutual fund account.
-Co-borrower information
-Provide a copy of divorce decree if applicable.
-If you are not a US citizen, provide a copy of your green
card (both sides)
-If you are not a permanent resident provide a copy of your
H1 or L1 visa.
2) Get pre-approved to determine how much you can
borrow.
Once you get qualified you'll have a good idea of how
much you can afford. A pre-qualification gives you a no
obligation quick and easy idea of what you can borrow. It is
a helpful and painless first step.
Keep in mind, in most cases, today's
Seller requires you to provide your agent a pre-approval
letter from a lender prior to even viewing their home.
And if you think about it, if you were the seller yourself,
wouldn't you want to be sure people viewing your home, are
actually qualified to close on a purchase of your home?
Of course you would!
Pre-approval verifies
your income, credit and debts. This involves more time and
expense but is very useful when making an offer on a
property. Sellers will obviously consider an offer more
seriously that is pre-approved over one that is of unknown
backing.
3) Work with a
"recommended" loan officer to find the best
mortgage for you.
Your loan officer will help you find the mortgage that
fits you best. A loan officer who is
recommended by someone who
has worked with them before, providing you the best chance
of working with a lender who has a known track record!
Buyers Agent's usually have at least
two lenders they work with all the time and if you check
with the agent, you will find the agent even uses the lender
for their personal transactions as well! That should
tell you something!
In determining the loan, there are a lot of factors to
consider:
How long do you plan to keep the loan? Would a fixed or
adjustable rate mortgage be best for you? How many points
should you pay? What other costs are involved? When should
lock in your rate? Based on your needs and situation, your
loan officer will show you which mortgage products work best
for you. During the whole process, we are there for you to
answer your questions with our years of experience.
We will review your loan application and supporting
materials with you to make sure that your loan package is
correct and as strong as possible. Then we will shop your
loan application package to several lenders to find you the
best deal possible.e.check
with the agent, you will find the agent even uses the lender
for their personal transactions as well! That should
tell you something!
There are a lot of factors to be considered.
How long do you plan to keep the loan? Would a fixed or
adjustable rate mortgage be best for you? How many points
should you pay? What other costs are involved? When should
lock in your rate? Based on your needs and situation, your
loan officer will show you which mortgage products work best
for you. During the whole process, we are there for you to
answer your questions with our years of experience.be present (buyer, seller, closing
agents and attorneys). You will sign the necessary legal
documents, pay your closing costs and escrow items and
receive your closing documents.
Now you receive your key, move in and celebrate!
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