About the Mortgage Loan Process

Confused on how to start your loan process?

Then allow me to help!

As a real estate broker and mortgage broker, I have the unique knowledge of what it takes to make a real estate transaction go as smoothly as possible.

There are five basic steps in the loan process. Here is a roadmap to guide you through the details of getting your new loan:

1. Organize Your Materials

2. Qualify For Your Mortgage

3. Compare Loan Programs

4. Get Your Loan Approved

5. Close Your Mortgage

A. Organize Your Loan Materials

If you need a mortgage for a new home, or if you are
refinancing your property...

1. In order to document your income, you will need to provide two years of W-2 statements and one month of paystubs. You will need to provide two years of tax returns and a current profit and loss statement if you are self-employed. If you are receiving alimony, please provide a copy of the divorce decree.

2. If you own rental property, you must provide current rental agreements as well as two years of tax returns.

3. In order to expedite the loan approval process, you should plan to  provide three months statements for all of your banking and investment accounts.

4. If you require cash back from a mortgage refinance, you will need to include a letter explaining how you intend to use the money.

5. Non-US citizens must provide a copy of their current green card or visa.

If you will be applying for a home equity loan...

1. You will need to provide W2 statements for the past two years, and your current paystub. If you are self-employed, you will need to provide tax returns for two years as well as a current profit and loss statement.

2. If you own rental property, you must provide current rental agreements as well as two years of tax returns.

3. You will need to provide a copy of your original mortgage, which us typically found in your closing documents.

4. You will need to create a letter describing how you plan to use the home equity loan.

5. Non-US citizens must provide a copy of their current green card or visa.

B. Get Qualified For Your Mortgage

We recommend that you get pre-approved for your mortgage before you begin shopping for a new house. When you are pre-approved, you have several advantages:

1. You will find out the price range that you can afford to purchase. You will know in advance what your maximum purchase price can be.

2. Since the seller knows your loan is already approved, you will have more leverage to negotiate a good price.

3. Your loan will close more quickly, since it is already approved.

C. Compare Loan Programs

When you're shopping for a loan, there are several considerations you will want to keep in mind:

1. How long do you plan to stay in your home? If you plan to remain in your home for many years, you'll probably want to look at fixed rate loans. However, if you are going to be selling the home within a few years, you may want to consider an adjustable rate mortgage.

2. Do you know about the difference between rates and points? "Points" are tax deductible because they are treated as prepaid interest. A single point equals one percent of the total loan amount. As an example, one point on a $125,000 loan is $1,250.

3. Have you compared different programs? As you navigate the confusing variety of loans to chose from, each with different rates, points and fees, it's difficult to know what program suits you best. That's why it's helpful to have an experienced loan officer guide you through the process.

D. Get Your Mortgage Approved

Your loan approval process starts as soon as we receive your application. In order to approve your loan, we will verify your:

1. Credit history

2. Employment history

3. Financial assets

4. Property value

Since every circumstance is unique, you may be asked for additional documents to verify your application. You can help expedite this process when you:

• Fill out your loan application completely.

• Respond as soon as possible to requests for additional documents. This is very important if your rate is locked or if you intend to close by a certain date.

• Defer major purchases. You may adversely affect your application if you buy a car, furniture or another house while your loan is in process.

• Avoid any major deposits to your banking accounts that cannot be verified.  If you are receiving money from relatives in order to complete your purchase, please let us know. 

• If you will be out of town near the loan closing date, plan to sign a power of attorney in order to authorize someone else to sign on your behalf.

E. Close Your Mortgage

Once your loan has been approved, you will need to sign the final loan documents in the presence of a notary public. At the closing, you will need to:

• Bring a cashiers check for the amount of your down payment and closing costs, if required. Personal checks are not acceptable.

• Review your final loan documents. Check the interest rate and loan terms to verify that they are the terms you agreed to. Make sure that all names and addresses on the loan are correct.

• Sign the loan documents.

Most home loans will close shortly after the final documents have been signed. If you are refinancing or getting a home equity loan, you have 3 days to review the documents before the transaction can close, according to federal law.

68 Graham Ave.
Oviedo, FL 32765

Toll Free: (800) 500-0694