What Happens Next?
You’ve been pre-qualified, found a house, written a contract – so what happens next? We get this question from many borrowers. As a result, we’ve put together our loan process road map so that you’re not left in the dark. Take a moment to review the steps below and let your mortgage specialist know if you have any questions. They are here as your trusted resource, so please don’t hesitate to give them a call, text, or email.
Once your contract has been signed by all parties, it’s time to get started on your loan application. Please give your mortgage specialist a call to schedule a time to sign your loan disclosures. We will send you a list of documents that you will need to bring to your appointments. This typically happens within the first few days after contract ratification, but you can start this process even before you start looking at homes. After the loan application is a great time to begin shopping for your homeowners insurance.
Within three days of completing your loan application, you’ll receive both an email and mailed package of disclosures for your review. The main document you’ll receive is your Loan Estimate. This is an estimate of any possible fees that may be incurred in relation to closing your loan. This document should be very similar to what you signed at loan application. You do not need to sign and return this document, it’s for your records only. If you have not found a house yet, you’ll receive your Loan Estimate after you do.
Once your loan application is completed, we turn your file into underwriting for review. We do this up-front so that we know if there are any issues with the loan and can address them immediately. Our underwriters review your file and issue a conditional approval. Remember, your loan can be reviewed, even if you have not found a house yet.
Your mortgage specialist or a member from their team will reach out to you with the list of remaining items needed to give a final approval of your loan. It’s important that you send the requested items back within 48 business hours. This assists with keeping your file on track to close on time. If you have any questions about the items requested, please don’t hesitate to contact your specialist. They will be happy to assist in facilitating items if needed.
After you’ve completed your home inspection, received your loan disclosure, and given us permission to order the appraisal, you’ll receive an email from our online invoicing system – Fresh Books. Please follow the steps explained in the email. Payment for your appraisal is required prior to closing. If you have not decided on a homeowner’s insurance policy yet, this should be done as soon as possible.
Once all of your conditions have been gathered, your processor will submit your file back to underwriting for final approval. Final approval review usually takes 24-48 hours from the time of submission.
You’ll receive your Initial Closing Disclosure in the mail 7 days prior to closing. These are not the final figures, however they should be very close. This is a great opportunity to familiarize yourself with the Final Closing Disclosures that you will sign the day of closing.
Once your file is final approved/clear to close, it’s moved to the closer on our team. Their job is to work with the title company/attorney you have selected. Together they finalize the final documents you’ll sign the day of closing. It is, at this point, that you will receive your final Closing Disclosure. This document will give you the final amount that you’ll need to bring to closing. This dollar amount will need to be in the form of a certified check or wire made payable to the title company/attorney. You’ll also need to bring your photo ID.
Loan programs may change at any time with or without notice. Information deemed reliable but not guaranteed. All loans subject to credit approval and property appraisal. Not a commitment to lend.
Contact a Mortgage Specialist today to learn more.