Western Foothill Mortgage's Loan Zone: Overview of the Loan Process

Here's a quick overview of a typical lender's financing process:

Prequalification - determining the limits of what you can afford.
Preapproval - an actual credit approval verifying income, liabilities and your ability to repay the loan.
Closing - a third party agent of your choosing coordinates final signoff on paperwork and activates the transfer of funds.

Make sure your lender has the following info on you prior to prior loan application:

Earnings statements or proof of self-employment (W-2 forms, pay stubs and tax returns)
The home purchase contract
Debt information such as car notes, credit card numbers, and creditor addresses and phone numbers
Bank statements for most recent three months with account numbers and local branch address
Evidence of mortgage and/or rental payments

Closing
After you've applied for your loan and it's been processed and approved, you can set a closing date. At the closing, your mortgage is activated, and you are given the keys to your new home. Here are the major steps that need to happen in the weeks before your closing:

Title search and insurance. To protect themselves against the possibility of a fraudulent sale, lenders require a title search. A title search uncovers any liens, lawsuits and legal claims involving the property. Lenders also require that you buy title insurance to further protect you and them just in case there is still a complication with the title after the deal has been made.

Survey. The title insurance company may require a survey of the property. This is to verify the zoning location and official boundaries of the property. You'll probably have to foot the bill for this charge, too.

Homeowner's insurance protects the contents of your home from theft and the structure from most disasters.

Use our Mortgage Calculator to find out what your payments will be.

You can begin your loan process now with our simple online PreQualify form.