To people who are in the market for a home for the first time, the entire process can seem overwhelming. There are so many steps to keep up with, and without professional help, it is easy to get. Working with a professional mortgage broker can ease the stress that comes with the process of buying a home. The first step is pre-approval, but what happens next?
A Recap of Pre-Approval
After saving and budgeting for months or years, you finally reach out to a mortgage broker to get pre-approved for a home loan. In this part of the process, your mortgage broker assesses everything you bring to the table and determines how much house you can afford. Your mortgage broker has evaluated your income, assets, debts, credit, etc. You now have a number to work with when shopping for homes.
What Happens Next?
After pre-approval, you can begin searching for homes in your price range. While this search can be done on your own with your savvy tech skills, it is highly recommended that you work with a real estate professional. They will continue to guide you through the home-buying process as well as advocate and negotiate on your behalf. Once you find a home and make an offer, you will submit what is called an earnest money deposit.
Choose a Mortgage Lender
After finding the perfect home, the next step of the process is to choose a mortgage lender. This is the company that will finance your massive purchase unless you are paying for your house in cash. This can be the same company that completed your pre-approval. With this company, you will also complete your application for a mortgage, also known as a mortgage loan application. Next, you will receive a loan estimate detailing the terms of the home loan being offered to you.
Mortgage Processing and Underwriting
For buyers, this is mostly a waiting period. The mortgage processing and underwriting process happens after your loan application has been submitted. During this time, all of the paperwork that you provided in your application will be examined with a fine-tooth comb. Information is verified, and issues such as late payments or problems with your credit will be examined.
The underwriter’s job is to search and examine the information you have provided for any inaccuracies or inconsistencies. Your loan officer may come back with questions and require additional information during this time.
Closing day is the day that you have been waiting for. This is the day when you will sign all necessary documents that hand over possession to your new home and detail all the legalities. If everything is in order, once you complete signing all the documents, you will receive the keys to your new home.
Get Help from Pre-Approval Experts in Sacramento, CA
The experts at Anew Lending have been serving residents of Sacramento, CA, and surrounding areas for many years. Our team of experts is here to help you with the pre-approval process. Call us today to find out what options may be the best fit for you!