Step 1 – Outline your mortgage goals:
The first step in the mortgage process is deciding what your goals will be for this upcoming purchase. Buying a home is likely the single most important financial decision of your life.
Decide what is important for you to attain by the end of the transaction. what purchase price you want to shop for, how much you would like your monthly mortgage payment to be, and your budget for the down-payment and closing costs.
Once these figures are assessed, even as a simple estimate, you can begin to build the foundation of your upcoming purchase and can give your loan agent will have a trajectory to follow to give you the optimal buying experience.
Step 2 – Get pre-approved and start shopping:
The second step in the mortgage process is your pre-approval. It’s important to get pre-approved early in the mortgage process because a true pre-approval letter shows the seller that your finances are secured with a credible lender and that you are serious about your upcoming purchase.
The pre-approval consultation will help you understand your purchasing power, allow you to review your credit report, provide you an opportunity to educate yourself on how to be in the optimal buying scenario, and see real-life figures on what this mortgage transaction will look like for you.
The pre-approval appointment takes roughly 30 minutes and there is no cost or obligation. Your Mortgage Consultant will review products, rates, and payments with you and they will also inform you on industry changes, current requirements on mortgage programs (specifically, the
one you will be using), as well as the next step toward locking in your interest rate.
From here, the fun really begins because now you can shop for homes with confidence knowing that the moment you get into contract that your lender will handle all your financing needs.
Step 3 – Mortgage processing and underwriting:
The third step is where you have finally looked at homes, found one that you love and made a successful offer that put yourself into contract to purchase the home.
From there, we will lock your interest rate and you will then receive a locked loan package for you to review. After that, we will submit your loan to an underwriter whom will review your entire purchase scenario from top to bottom.
Once the loan is approved by an underwriter and all conditions have been met, we will move into the closing step and start to wrap everything up for you.
Step 4 – Closing escrow and getting the keys to your new home:
The final step in the mortgage process is the closing of escrow and easily the most exciting part of the entire process!
Our closing team coordinates the final loan documents with the local title/escrow company, including preparation of the closing disclosures once title fees and invoices for other settlement services that are received from the title company. You will then see a final figure for your cost to close (which we will have closely estimated ahead of time) and then you will bring your certified or wired funds to the closing and sign the final mortgage documents.
Once the signing has occurred, the settlement office will notify your closer and the loan will be funded and then recorded.