A Step By Step Guide To
Securing A Home Loan
1. Lender. Select a lender and loan type. Ask friends for a referral of a lender, or we can recommend several. Ask for comparisons on loans to see which is right for you. Don't forget to ask about fees, points, lock-in policies. Whether your credit is sparkling or you're in need of a mortgage miracle, please check out Trident Mortgage or contact John Gamlin for one of our preferred providers!
Click here to see the Credit Scoring that lenders use.
2. Application. Fill out an application. Bring
along your social security number,
your most recent W-2 statements, approximate debt on credit cards or other loans.
3. Costs. Review the "good faith estimate" your lender is required by law to give you.
It tells you as accurately as possible what your costs will be.
4. Inspections. Schedule necessary inspections once your lender has given the go
ahead. The lender's requirements, state law and condition of the home you are
purchasing determine what inspections are needed.
5. Appraisal. Be on hand to answer questions. Your lender may need additional
information from you after you apply. At this time your lender will also arrange a
home appraisal for you.
6. Follow-up. Check with the lender on the progress of the exacting legal work involved,
such as the title search, survey, etc.
7. Approval. When you receive written confirmation of your loan, read the "commitment"
letter carefully and promptly supply any further information necessary.
8. Settlement. Arrange for a settlement date and be sure to bring all items the lender has
requested in the commitment letter.
9. First Payment. Begin paying your mortgage. Your lender will either give you a payment
coupon book at settlement or mail it to you, or you may arrange for a monthly automatic
withdrawal from your bank. Don't forget your payment is due when specified even if you
don't have your payment book yet. Also expect the lender to provide you with an annual,
end-of-the-year statement detailing the amount of principal, interest, tax and insurance
you paid during the year.