OUR MORTGAGE PROCESS
It starts with you!
The mortgage process, while complex, is facilitated by Your State Bank Expert, it is what we do best.
The process can be broken down into 5 basic steps:
LOAN ORIGINATION
OFFER AND ACCEPTANCE
LOAN PROCESSING
LOAN UNDERWRITING
CLOSING AND FUNDING
LOAN ORIGINATION
Loan origination begins with getting pre-qualified. This pre-qualification will help determine what price range of homes that may be considered based on your income, debts, and assets. A credit report may be reviewed to determine credit worthiness. Loan origination begins the request for documents like paystubs, bank statements, and tax returns.
OFFER AND ACCEPTANCE
Offer and acceptance involves narrowing down your search for a home down to one, making an offer, and obtaining an executed contract.
LOAN PROCESSING
Loan processing step involves a due diligence review for the application, executed contract, and received documents. Verification services are ordered for the property address, employment, assets, SSN, tax transcripts and red flag report. The due diligence review and the results of the verification services may require additional requested documents.
LOAN UNDERWRITING
Loan underwriting evaluates the borrower's three C's... Credit, Capacity, and Collateral. Credit is the review of how well you manage current and prior debts and combined with your credit score determines your creditworthiness. Capacity is your ability to make the payments. This requires analyzing employment, income, current debts and assets. And lastly collateral, which is the home itself. What type of property is it, what is the property's value, and the use of the property. Each of these brings different levels of risk to the lender. The underwriter's evaluation may require additional documents.
CLOSING AND FUNDING
Closing and funding is the last step in the loan process. The finalization of the loan process and home purchase will happen at the closing table. Once all parties have signed and fulfilled their obligations the loan will be funded and the keys are yours.