Steps In The Loan Process

1. Application

The application process is actually quite easy and can be done over the phone, through email, or we can meet with you in person. It consists of gathering property information, income information, personal information, and of course – loan information. 

2. Loan Programs & Good Faith Estimate

After we process your application, we will be able to provide you with information in regards to the loan programs that you qualify for. Upon choosing a loan program, we will provide you with a Good Faith Estimate and a loan application to be signed and returned with required documentation (we provide you with a list of necessary items). This is a crucial point – until you return all requested documentation, we will not be able to move on to step 3!  

3. Third Party Documentation

Once all the necessary documentation is in, we will order all necessary third-party documentation (i.e.: Appraisal, Title, Escrow, & Insurance Binder). 

4. Loan Submission

After we have received the third party documents, we will have a complete loan package for our processing department to evaluate, put together, and send to underwriting. 

5. Underwriting Review & Loan Approval

The underwriting department has final say on the approval of your loan. Although we may already have a pre-approval upon application, the underwriters will issue a manual approval. Loan approval generally takes anywhere from 24 hours to 15 days depending on the complexity of the loan application. All parties are notified of the approval and any loan conditions that must be received before the loan can close.

6. Signing At Escrow

Within 1 to 3 days of full approval without conditions, your loan documents will be prepared and sent out to the escrow company. The escrow officer will work up your Hud-1 (a summary of all the figures of your loan transaction) and fax us a copy to verify that they are correct. Once we have done so, the escrow company calls the borrower to come in when the papers are ready for final signature. At this time, the borrowers are provided with the final figures regarding how much money they will need to bring in to close the loan.

7. Funding

Once all parties have signed the loan documents, they are returned to the lender, who will review the package. If all forms have been properly executed, the funds are transferred to the escrow company by wire.

8. Recording and Closing

When the escrow company receives the funding check from the lender, the escrow company records the deed of trust with the county’s recording office. Once the escrow company has the recording numbers, all funds are distributed, escrow is officially closed, and you get the keys to your new home!!