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| Reach a loan officer at : 1-800-289-0410 |
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The Loan Process
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The first step - the loan application:
As might be expected, the first step in obtaining home loan financing is to fill out the loan
application (also called a "Fannie Mae 1003", or "Uniform Residential Loan Application"). Our
experienced loan officers will be happy to assist you in filling out the loan application if you
should have any questions. We will make an appointment to meet with you at your convenience
if you desire. Whether you choose to meet with us or fill in our online application, you will
eventually need to provide us with some personal and financial information (click here for a list of
what you need to provide). If you are unable to provide some of the required documents, you can
provide them to us at a later date before your final approval.
Do I have to meet in your office?
No! It is possible to complete the loan process without attending a meeting in our office. This
can be done by doing one of the following: filling out our online application form on our site, we
will fill it out for you by telephone, you can fax your application to us after you print it out, or you
can mail your application to us if you wish.
When we do talk to you, we will discuss different possible loan programs available to you that
might best meet your needs, the interest rates available, and your financial and property
qualifications for the loan program you've chosen.
After I fill out the application, what happens next?
Once you have chosen a loan program and interest rate, the application has been filled out and
you have provided us with the necessary information, we will then send out verification forms to
verify your employment history and bank account information, obtain your credit report, order
your preliminary title report from the title company and order your appraisal. Once this
information is returned to us, we will compile your loan documents and submit them to the
underwriter for final approval.
What does it mean when my loan is approved "with conditions?"
Your loan may be approved as submitted or with condition. If there are conditions on the loan in
order for it to be approved as submitted, we will work with you to satisfy these conditions.
Conditions might include an explanation letter of some sort, copies of investment documents,
copies of divorce papers, or any number of things that may help clarify your qualifications for the
loan. It is important to understand that no material changes can take place with your loan after
approval and prior to close of escrow, ie, changes in assets or employment.
After the loan conditions are met (if any) and the loan is approved, the necessary documents are
prepared for closing. The lender will draw up the necessary documents and then will send you to
a title or escrow company near your home to be signed by you. Your escrow officer will contact
you to arrange for an appointment for you to come into the escrow office to sign your loan
documents.
What does "Close Escrow" mean?
The task of closing the loan is normally the responsibility of the escrow officer or lender. This
person or company is responsible for gathering the necessary documents (deed of trust,
promissory note, etc.) and making sure all documents are signed. Following the lenders
instructions, the escrow officer or lender then calculates the various prorations, charges and
adjustments (interest on your old loan, interest on your new loan, money for impound accounts
for taxes and insurance, etc.), makes sure all of the funds are deposited (if any) and provides you
with a settlement statement showing all of the costs involved in the loan. Whoever handles the
escrow responsibilities also makes sure that all of the parties involved in the loan process are
paid after the loan funds. Your loan will then "close escrow" and your new loan will be recorded.
What is a "Right of Rescission?"
After you sign the loan papers, they are sent to the lenders funding department where they do a
final check to see that everything is in order. On a refinance loan, for your primary residence,
there is a 3-day right of rescission period. This means that you have 3 days from the day you
sign the papers to change your mind about following through with the loan. If you have not
exercised your right to rescind during the 3-day right of rescission period, the funds are released.
The loan funds are then distributed to the proper parties and the documents are recorded at the
county recorders office. The loan is done! NOTE: There is no right of rescission on a purchase or
a refinance for a second home on rental property..
What are the steps that are taken in the loan process?
The loan process is different in various parts of the United States. The explanation of the loan
process below is a general sequence of events that takes place during the processing of your
loan. Different lenders in different states have their own requirements. The descriptions below
are meant to give you a general idea of what is required to go from applying for a loan to closing
the loan.
The loan process is different in various parts of the United States. The explanation of the loan
process below is a general sequence of events that takes place during the processing of your
loan. Different lenders in different states have their own requirements. The descriptions below
are meant to give you a general idea of what is required to go from applying for a loan to closing
the loan.
