The Loan Process
Make no mistake, there’s a lot involved in getting a mortgage loan. You wouldn’t be here on our website if you could fill out a one-page application and get the best loan for you funded the same day. What our preferred lender does is most of the heavy lifting so you can concentrate on what’s important — preparing to move into your new home or saving money.
There are four main steps involved in getting a loan. You’ll see that we’ve made your part in them as easy as possible, and we do most the work! That’s what we’re all here for. Fixed Rate vs. ARM, Rate vs. APR and Rate Lock Periods are vastly important to cover in detail.
Step One: Determine How Much You Can Borrow
This is a function of a couple things. How much of a monthly payment can you afford? And given your unique credit and employment history, income and debt, and goals, how much will a lender loan you? For the first part you can get a rough idea of by using a mortgage calculator. The lender will also help you through different scenarios by asking a few simple questions. Based on standard lender guidelines, Our preferred lender will give you a good idea of what kind of terms and loan program you can expect to benefit from the most.
Step Two: Pre-Qualify for Your Loan
This is where you supply information about your employment, your assets, your residence history, and so on and yes they also ask your permission to run a credit check. Once all this has been reviewed you’ll be given a Pre-Qualification Letter. Handle it with care — to a home seller, it’s like a suitcase full of cash! TCREG uses your Pre-Qualification to make the best possible offer on the home you choose, and the seller knows you’re pre-qualified. It gives you buying clout! And while you’re picking out the home that’s right for you, your lender is busy finding the loan that’s right for you.
Step three: Apply Now!
Once you’ve made an offer and it’s been accepted, it’s time to complete the loan application. It couldn’t be easier, and you can do it online or often the lender will come to YOU! When the time comes an appraisal of your new home is ordered to make sure you don’t overpay! (This is usually after the inspection process has ended)
Step four: Appraisal and Underwriting Review
Shortly after you submit your completed application, your lender will order an appraisal to be done on the property you are purchasing to verify you are paying a fair market value.
Your file will then go into the final underwriting review process in which your lender will formally approve you loan and a loan commitment letter is issued making it just about…done!
Step five: Your loan is funded
TCREG has a preferred title company to handle the funding and closing of your loan once it’s approved and “cleared to close”. You’ll likely meet the sellers and together sign everything at the title company’s office. NOW you get KEYS!