You’ve been pre-approved, found a house, and written a contract – so what happens next? Reference HomeTown Mortgage’s Home Loan Roadmap so you aren’t left in the dark.
The best thing about our roadmap? You don’t have to travel far- all decisions are made locally to make your processing personal and timely. Review the steps below and contact HomeTown Mortgage with any questions.
1. Loan Application
Once your contract has been signed by all parties, call HomeTown Mortgage to schedule a time to sign your loan application disclosures. We’ll outline what you’ll need to bring to your appointment. This typically happens within the first few days after contract ratification.
Quick tip: this is a great time to shop for your homeowner’s insurance while you wait!
2. Compliance Documents Sent
Within 3 days of completing your loan application, you will receive a package of disclosures for your review. The main document you will receive is your Loan Estimate, which is similar to what was signed at Loan Application. This is an estimate of loan terms, projected payments and estimated closing costs provided for your records.
3. Underwriting Review
Once everything is signed during Loan Application, we turn your file into underwriting for review. We do this upfront so that we’ll know immediately of any issues with the loan. The Underwriter reviews your file and issues a Conditional Approval (which is what we want!).
4. List of Conditions
Our Processor will reach out to you with any remaining items needed to final approve your loan. Please send any requested items back within 48 business hours to help keep your file moving for an on-time closing.
5. Appraisal Order
Once you have completed your home inspection, your agent will give permission for HomeTown Mortgage to order the appraisal. You will receive an email from an online invoicing system. Please follow the steps explained in the email. Payment for your appraisal is required prior to closing.
6. Submitted For Final Approval
Once all of your conditions have been gathered, the Processor will submit your file back to underwriting for Final Approval. Final Approval usually takes 24-48 hours from the time of submission.
7. Initial Closing Disclosure
You will receive your Initial Closing Disclosure in the mail 3 days prior to closing. These should be very close to the final figures and this is a great opportunity to familiarize yourself with the disclosure that you will sign at closing.
Once your file is Final Approved, it moves to the Closer! They will work with the title company and attorney to prepare the documents you will sign at closing. You’ll receive your Final Closing Disclosure that indicates the final amount that you will need to bring to closing which must be in the form of a certified check or wire made payable to the title company or attorney. You will also need to bring your photo ID.
Bonus Step: Celebrate your new home!