The Loan Application
The first step in securing a home loan is to fill out a loan application. Depending on what works best for you, you can either complete the application online or meet face-to-face with one of our loan officers. Once the application is completed, the loan officer will discuss your overall financial goals and then provide you with loan program options. Your loan program options are determined by many variables including home affordability, income, credit and assets.
The loan officer’s goal is to clearly document your financial qualifications for the loan which you have applied. In order to achieve this, the loan officer will ask you to provide some documentation that supports your income and assets such as:
- Pay stubs
- Tax returns
- Bank statements
- Other documentation as needed
Once the documentation has been gathered, we will then verify your employment history and assets. We will also obtain your credit report, order the preliminary title report from the title company and order your property appraisal. Once this information is returned to us, we will submit the file to the underwriter for approval.
The Underwriter is responsible for ensuring that your loan file meets the qualifying guidelines. During their review, it is not uncommon for the underwriter to ask for additional documentation and/or clarification on different areas of the file. These are called “conditions”.
Your loan may be approved as submitted, approved with conditions, or a counter offer may be made for your consideration. If there are conditions to the loan approval, your loan officer will work with you to satisfy these conditions. Examples of conditions may include explanation letters, copies of financial documents, divorce papers, or any number of items that will clarify your qualifications for the loan.
Signing Loan Documents
After the loan conditions are met (if any), the necessary loan documents are prepared for closing. The lender will prepare the necessary documents to be signed by you. Your escrow officer or attorney will arrange for an appointment with you when the loan papers are ready to be signed.
Once you and the seller have signed all of the paperwork, the loan package is sent back to BVM for final review. In order to fund the loan, we will review the signed loan documents and confirm that all outstanding conditions have been satisfied. Once these conditions are satisfied, your loan is funded!