The mortgage process

 The mortgage process

Starts off with a meeting between the lender and you. This meeting will be over the phone. The lender will then send you a loan application and key pieces of information. If any information you have denied your lender is able to provide you with, they will need to provide evidence of the problems with verifying income. Lenders do not want to loan money to people who cannot document their expenses. If you're going to require a copy of your latest paycheck stub will that be sufficient. If you're not sure maybe a W-2's, or are seasonal workers and the bank is not sure of your work history it might be a red flag to them that you might not be able to afford the home.

Note: Generally a mortgage lender does loans for people who are good for the lender. They are doing it for themselves and their family and friends. It's their business but it's their life too.

The lender will then run your credit during the initial process. Your credit report is the foremost tool for the loan officer and mortgage company along with a look at your financial stability and your overall risk.

Once your credit is in order, the lender will then study the appraisal, property tax payments and inspection results. Once it looks as if you can get a loan they will then start matching those criteria with your personal information and set up a loan profile. Again, as you do the above get information on things such as: name, address, you pets, job history, type of work, income and assets, if any. This is because they want to know the cell phone status, license and insurance status and the house's current value. Having a lot of assets might give the loan officer the idea that your house might be something they could lend you money on, but many lenders are not interested in loaning money to people who have owned many different houses.

The mortgage company will then run your mortgage credit score by the big three credit authorities: Experian, Equifax and TransUnion. They will also look at your bank statements along with all of your financial statements. The loan officer will then verify your information by asking for: your employers, you current job and your current salary, your salary and length of time you've been employed at the position, the length of time you've spent at the current position, your training, licensing and education history. They will also check on your criminal background, if any. That's to make sure; that we're buttured up front with their criminal background, drug in and past criminal background. By the way, most lenders will be looking at all three credit rating agencies.

Now you're ready to talk to a home lender. The more familiar you are with mortgage processes the less struggled that you will be on the first set of calls. When you talk to a home lender and like the initial email they send you, I promise that when you follow up with them (which you will because you're the customer) they will sit you down and discuss loan programs, amounts and down payments.

I'm often asked "do I need to apply at a bank or an online company?" Now in today's age of the Internet, application is just a few mouse clicks away. You can even fill out a mortgage application online at some of the (now) many online mortgage sites. Take advantage of the technology and technology!

The point I am trying to make is that you are good at the initialMeet with ahome lenderthey will be able to look at your income and assets and if things look good they will move things forward. Make sure you are careful in the process and that you allow yourself enough time in order to get your documentation together if you have any embarrassing situations. Good luck in your search and happy hunting.