Mortgage Home Loan Approval Process USA
Fairway Independent Mortgage Corporation is committed to providing our clients with a smooth, stress-free mortgage transaction. While the home loan approval process is often thought to be long and daunting, we are here to guide you every step of the way. Below is a brief overview of the mortgage loan approval process. You can also check out this handy overview on our blog!
Step 1: Initial Consultation
We recommend reaching out to your Fairway loan officer via email, phone or in person to discuss your home-ownership goals. This initial consultation covers how long you plan on living in the home, the amount of down payment you will need, and how much you want your monthly payments to be. Not working with a loan officer yet? Find a loan officer near you!
Step 2: Get Pre-Approved
The next and most important step is to get pre-approved. A pre-approval determines how much money you will be eligible to borrow for a mortgage, based on the required documentation you provide and your credit history. Check out our Document Checklist for the basic information required.
Step 3: Processing
Once you are pre-approved and find a property, your mortgage professional submits your loan file and all documentation to the loan processor. The processor reviews your file and orders your property appraisal. Depending on your situation, the processor may need additional documentation during this step. Once your loan file is completed, the processor submits it to underwriting for approval.
Step 4: Underwriting
The underwriter reviews your loan file to ensure all guidelines are met for the specific loan program and issues a loan decision. Once your mortgage has been approved and all conditions have been cleared, your loan is moved to “Clear to Close” status.
Step 5: Pre-Closing
You will receive a loan commitment letter which contains the details of your loan including rate, amount and term along with any outstanding conditions that need to be addressed before the file is sent to closing. Once everything is cleared by the underwriter, our closing department will complete your final documents.
Step 6: Closing
During closing, you will sign a variety of final documents. Be sure to bring a photo ID along with the proper form of payment to cover your down payment, closing costs, prepaid interest, taxes, insurance or any additional costs. After the closing documents are completed and all funds have been disbursed, you will receive the keys to your new home!
If you are interested in a Buying A Home, please locate your loan originator to begin your mortgage application process.