Mortgage Help
A pre-approval is a formal bank letter stating that you have been pre-approved for a certain loan amount based off an initial review and what was provided. A pre-approval letter may be helpful to have when you are shopping for or submitting an offer on a home.
To submit an application, we collect:
- Borrower's Name
- Borrower's Social Security number
- Property Address
- Purchase Price/Appraised Value
- Loan Amount
- Income
It depends on your loan program. Generally, Conventional loans require at least 5% down, FHA require 3.5% down and VA loans may not require a down payment. However, we may have programs that vary from these requirements; your MLO will have more information about the specific loan products that we currently offer.
There are many factors that go into understanding which loan suits your needs and situation. One of our Mortgage Loan Originators (MLO) will explore options with you and help you determine which options work best for you.
Closing costs will vary depending on your loan program. We will provide your Loan Estimate once your application is completed, which will include your estimated closing costs.
Yes, you can. Generally, if your land contract is 12 months or more then you can refinance; if it is less than 12 months then it has to be treated as a Purchase transaction.
It is used in the financial industry to indicate the rate charged by the lender for use of money that you borrow. An interest rate may be a fixed rate or a variable rate. Interest rates vary, and may be based on the loan program you choose, applicant credit scores, loan-to-value ratios, and other factors.
We are required to provide you with initial mortgage loan disclosures after your formal application is submitted. Some of these documents are simply information to help you understand the transaction, while others must be signed and returned to the Bank in order to keep your loan approval process moving along. If you have any questions about these documents, contact your MLO.
Our goal is to help you close within 30 days of your application, but closing can depend on many factors, such as when we received any necessary signed disclosures from you. We will always try to work with your unique situation, which can sometimes change how quickly the process flows.
We usually order the appraisal within one business day after we receive your “Intent to Proceed” document.
If any kind of work needs to be completed on a house that is weather related, we can set up funds into an “Escrow Repair Account” allowing us to hold 1 ½ times the amount needed to complete the repair. Once repair is completed, the contractor will be paid and any excess funds will be reimbursed to the customer.
When your loan includes an escrow account, you pay the lender a monthly amount which is determined by federal regulations. As money accumulates in your account, your lender uses the funds to pay one or more of the following, as they come due: property taxes and homeowner’s insurance, and/or flood insurance. Ask your MLO what your escrow includes.
Private Mortgage Insurance is often required on Conventional loans when a borrower has less than a 20% down payment. It is a special type of insurance that protects the lender should the borrower default.
A valid Identification, funds for closing, if applicable, and any other documentation your lender would have asked you to bring.
Tax
transcripts are provided directly from the IRS and are a detailed summary of
your filed federal tax returns. These
are compared to the federal tax return copies that you provide to the Bank in
order to verify that there are no discrepancies.
