The Loan Process

Once your loan application has been received we will start the loan approval process immediately.

Although lenders conform to standards set by government agencies, loan approval guidelines vary depending on the terms of each loan. In general, approval is based on two factors: your ability and willingness to repay the loan and the value of the property.

Your loan processor will verify all of the information you have given. If any discrepancies are found, either the processor or your loan officer will troubleshoot to straighten them out.

This information includes:

Income/Employment Check

  • Is your income sufficient to cover monthly payments?
  • Industry guidelines are used to evaluate your income and your debts.

Credit Check

  • What is your ability to repay debts when due?.
  • Your credit report is reviewed to determine the type and terms of previous loans.
  • Any lapses or delays in payment are considered and must be explained.

Asset Evaluation

  • Do you have the funds necessary to make the down payment and pay closing costs?

Property Appraisal

  • Is there sufficient value in the property?
  • The property is appraised to determine market value.
  • Location and zoning play a part in the evaluation.

Other Documentation

  • In some cases, additional documentation might be required before making a final determination regarding your loan approval.

Improve the likelihood of getting your loan approved:

  • Fill out your loan application completely.
  • Respond promptly to any requests for additional documentation, especially if your rate is locked or if your loan is to close by a certain date.
  • Do not move money into or from your bank accounts without a paper trail.
  • If you are receiving money from friends, family or other relatives, please prepare a gift letter and contact us.
  • Do not make any major purchases until your loan is closed. Purchases cause your debts to increase and might have an adverse affect on your current application.
  • Do not go out of town around your loan’s closing date. If you plan to be out of town, sign a Power of Attorney to authorize another individual to sign on your behalf when your loan is expected to fund.

To find the loan option that fits you best, contact us to get pre approved. It only takes about 10 minutes, can be done over the phone, and all the information we will need to know you will probably know right off the top of your head.
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Call (248) 608-9120 to get your Mortgage rate today!