We know the home loan process can seem complicated. Let us worry about that. Our home loan advisors will work with you every step of the way, from pre-qualification to closing. To prepare you for your journey, we provided a roadmap describing the 12 central steps to secure financing for your home.
Step 1: Loan Pre-Qualification
Meet with your loan officer to pre-quality for a mortgage loan. This service is free and will give you an estimate of how much you may be able to borrow and your monthly payments. It will also show realtors that you are a serious buyer. Please note that a pre-qualification is not a commitment to lend.
Step 2: Provide Required Documentation
See our "Getting the Paperwork Together" page for a list of documents that you will need to provide to us to process your mortgage application.
Step 3: Initial Loan Disclosures
You will receive your initial loan disclosures within three business days from the date we receive your loan application. Some of the document will require your signature — just follow the instructions provided with the disclosure package.
Step 4: Identification of Escrow Company
The escrow or title company will hold and disburse all loan funds, prepare an accounting of the transaction, and will prepare certain documents to affect transfer of title to the property.
Step 5: Title Report
A preliminary report will be ordered. It provides information about how title of the property is currently held and any exceptions to title that are currently of record (e.g., easements, liens and encumbrances). The report will also list standard exclusions from title insurance coverage. A copy of the report will be provided to you. The escrow officer will collect all information necessary to "clear" the title to an acceptable condition for title insurance.
Step 6: Appraisal
We'll order an appraisal of the property, through an approved appraisal management company. Upon completion, we will provide a copy of the appraisal report to you and will ask you to acknowledge that you received this report before final loan documents are issued.
Step 7: Underwriting
Your loan application will be sent to an underwriter for final approval.
Step 8: Approval & Insurance
The underwriter will either issue an approval with no conditions required or an approval with conditions. In the case of the later, additional documentation will be required prior to ordering the final loan documents. At this time, your hazard insurance policy (and flood insurance policy, if the property is in a special flood hazard area) is ordered from an insurance agent of your choice.
Step 9: Final Loan Documents
When the loan is approved, and all underwriting conditions have been met, we will prepare the final loan documents. They will be delivered to the escrow/title company for your review and signature. The escrow/title company will also prepare the final loan settlement statement.
Step 10: Signing
The escrow company will set up an appointment with you to sign your documents. You will have the opportunity to review the documents and ask questions prior to closing. You will pay any remaining costs, if applicable. Your loan funds will be deposited with the escrow/title company in the form of a wire transfer or cashier's check for disbursement.
Step 11: Lender Review
After your final loan documents are signed, the escrow company will return the loan documents to us for final review.
Step 12: Closing
Once we have approved final documents, the Deed of Trust (mortgage) will be delivered to the title company for recording with the County Recorder's Office. Once recording is confirmed, the transaction is "closed" and your loan is complete.