Step 1: Move to full approval

As a preliminary step, you should get pre-approved by a reliable lender before initiating your search for a home.

To submit a complete loan application you and your loan representative need to do the following:

1. Review automated underwriting results
1. important conditions, limitations and options
2. Confirm Loan Type and Terms
1. term of selected loan and current interest rate at agreed price
3. Gather Sales Contract and Fees
4. Submit File With Complete Documentation
1. borrowers’ signed 1003 application form required
2. possible need for supplementary credit, income or asset documentation
3. appraisal report, inspections and title report still outstanding

After your loan is approved your representative will still need a few documents to continue to move the process forward. You’ll typically need the following:

1. The purchase contract
2. The preliminary Title Report
3. The Appraisal
4. Updated paycheck stubs or other income documentation
5. Bank statements that demonstrate an ability to provide the down payment
6. A “clear” termite report
7. Other items, depending on the transaction

When your lender tells you the loan has been approved, demand to see the approval sheet, and work with your loan rep to assure that you are complying with all requirements.

Once an appraisal report has been filed with your lender it may be time to consider locking in your interest rate and terms.

1. Get your lender’s current rate sheet. Compare it with the one you kept from when you were pre-approved.
2. Sit down with your Loan Officer and review the rate versus-fee alternatives.

Lock in right away and avoid the risk of having increased interest rates. Select the lock period that extends to your closing date.

Get a copy of the Lock Confirmation from your lender and verify that everything has been done as promised.

When you sign your loan documents, get a copy of the list of all remaining conditions from the closing agent and assure yourself that someone is handling all of those items so your loan funds on time.