Loan Process Overview

The following is an overview of the home loan process when purchasing a home. The process begins once the loan details (such as program, rate, costs, etc.) have been finalized and a contract has been executed and provided to us. Don’t delay as there are only 20 working days in a 30 day contract AND these steps are in a series – meaning we can’t move forward  until each step is completed. Being responsive early in the process will ensure a smooth, on-time closing.

Loan Packaging (1-2 business days)

• Borrower provides “Green Light” and a Loan Package sent
• Signed loan package and outstanding items from the Document Checklist are submitted

Setup (1-2 business days)

• File turned into Setup (and if needed, additional documents are requested from you)
• Third party items are ordered (ex: appraisal, title, insurance, survey, etc.)

Credit Approval (1-2 business days)

• Borrower is credit approved – ie. documents have been reviewed and approved
• Appraisal and some third party items may still be pending

Waiting For Third-Party Docs (TBD)

• This is the great unknown which is why it’s imperative to be responsive early
• We may be waiting for the appraisal, the insurance, a verification of employment, etc.

Full Approval (1-2 business days)

• Appraisal and third-party items arrive and are submitted to underwriting for approval
• Both credit and collateral are approved and underwriting requests any additional documentation

Final Approval (1-2 business days)

• Documents are provided to Underwriter to satisfy outstanding conditions
• Clear to Close (CTC) is issued and file is moved to the Closing Department – see Pre-Closing

TRID – Closing Disclosures Sent to Borrower (3 business day)

• The new laws require the borrower to have received the “Closing Disclosure” 3 day in advance
• Once Title/Escrow agreed with the CD, our closing documents are sent to Title/Escrow

Closing / Funding (3 days from final CD acceptance)

• All parties sign the closing documents
• The title company after consummation will forward all closing documents to us for Funding at that time.