Initiating the loan process requires homebuyers to calculate (calculate should link to the prequel calculator) their budget and how much house they can truly afford. At Sunshine State Mortgage, we can help you determine how much to borrow by offering complete turnkey loan services, starting with getting a pre-approval based upon current lending guidelines. This process includes:
Getting a pre-approval requires the verification of income, credit, assets and liabilities. Through this process, lenders will provide a summary of financing options based upon loan-to-value (LTV) and debt-to-income ratios, credit score and source of down payment if applicable.
Choosing the right loan is the next important step in this process. You will need to compare mortgage interest rates and loan options, including whether you need a fixed rate mortgage or adjustable rate mortgage (known as ARMs).
The loan application allows the lender to verify your income and assets from sourcing various documents from the loan processor. These documents include, copies of pay stubs, W-2s, tax returns, bank statements, if self-employed year-to-date profit and loss statement and tax returns, pension income, social security and disability payments if applicable, dividends earnings, bonuses, copy of earnest money deposit, information on liabilities and security accounts.
Before getting the keys to your new home, there are a few more steps that you must complete before closing, including scheduling the final walk-through and reviewing your closing documents for accuracy of the name, address, interest rate and loan terms. The closing on your loan will take place after the signing of the documents.