Home loan approval process

Step 3. (Processing and Submission)

The Loan process works in tandem with various 3rd parties who are handling your purchase transaction. Included with your Real Estate Agent are Escrow, Title, Pest Inspectors, Property Inspectors and Appraisers. Each of these parties provides information to your loan officer that is vital to your loan approval. Before we submit your file to the bank for a “conditional” approval we must confirm through the parties I mentioned above the following: Purchase price, loan amount, appraised value, clear title, sourced funds-to-close, credit and income. Once the file is complete we submit the package to the bank.

Step 4. (Conditional Approval)

At this stage we have submitted a complete package to the bank giving the underwriter all the information to approve you as a borrower as well as approve the property as collateral they are willing to lend on. Once the file is approved we are issued a “conditional approval”. “Conditional” means that the transaction is fully approved once some additional information is submitted. This could include letters to explain past credit delinquencies, current paystubs, bank statements, etc.

Once received by the bank and satisfied, your new home loan is given Final Approval, and you can move toward closing Escrow