Mortgage 101

Lender’s Tip: Mortgage 101

Don’t know how the mortgage process works? Want to apply but feeling overwhelmed? Thanks to Todd Sevier of the Tabor Mortgage Group, you can be comfortable with this quick run-down of what to expect.

For first-time buyers, purchasing a home can be so exciting — and a little scary too. It’s a lot of money, a long-time commitment, and a lot of paperwork that can be very confusing. Let’s see if I can ease some the anxiety that can be associated with buying a new home by explaining some of the process to you. If you want more information, I am always available to answer questions specific to your situation, at no cost.

Meet with your loan officer
You need to determine how much home you can afford. You and I will discuss your mortgage goals and determine the appropriate loan program with the monthly payment you’re comfortable with. Your credit score and the amount of cash you have available will help determine the type of loan you qualify for and its parameters.

Complete the loan application
Once we determine the amount you want to borrow, we’ll fill out an application. I will ask you to provide important documentation, such as pay stubs, W2s and bank statements, and review your credit, your income, your assets and debt, and the cash you have on hand for payments such as your down payment and closing costs.

You get a lot of forms to review

Documents we call disclosures are sent for you to read and sign. These legal documents explain your rights as a borrower on a mortgage loan. Disclosures will also show you the details of your loan amount, costs, monthly payments and payback terms. There are also a few items that say your loan isn’t guaranteed until it is funded and recorded and that as a borrower you won’t lie on your loan application, alter documents, or in other ways commit loan fraud.

Loan is submitted to our professional underwriting team for review
This is to review your application to check all the pieces are there and all the numbers are adding up properly. I’ll ask you for any missing or incomplete information. Once the loan package is complete, it is submitted to the underwriter for approval. The underwriter will review your documentation and determine whether the information listed on the application meets the guidelines.

Head to closing

Once the title company receives the loan documentation, you’ll be contacted to set up an appointment to sign the final loan papers. The title company will give you the final closing figures. The funds will be wired to them by your lender, and in turn they will send the deed to the county recorder’s office to be registered and filed. After the loan has recorded, the transaction is complete and your agent may now give you the keys to your new home.

Todd looks forward to discussing your loan options with you. Contact him for a free consultation and let’s see about getting you into a new home this year!

Todd Sevier
Tabor Mortgage Group
E Mail Todd
Call Todd: 843-557-3926

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