THE HOME LOAN PROCESS
If you are buying or refinancing a home: If you are applying for a home equity loan:
1. If you are salaried: provide two years W-2 and one month of pay-stubs or if you are self-employed: provide two years tax returns and a YTD profit and loss statement.

2. If you own rental property, provide rental agreements and two years tax returns.

3. If you wish to expedite the approval process, also provide three months bank statements for each bank, stock and mutual fund account.

4. Provide recent copies of any stock brokerage or IRA/401K accounts that you may have.

5. If you are requesting a cash-out refinance, provide a letter explaining what you plan to do with the proceeds.

6. Provide a copy of a divorce decree, if applicable.

7. If you are not a US citizen, provide a copy of your green card (front & back), or if you are not a permanent resident provide us with your H-1 or L-1 visa.		 1. If you are salaried: provide two years W-2 and one month of pay-stubs or if you are self-employed: provide two years tax returns and a YTD profit and loss statement.

2. If you own rental property, provide rental agreements and two years of tax returns.

3. Provide a copy of the note on your first mortgage. This will usually be found in your closing loan documents.

4. Provide a signed letter explaining what you plan to do with the proceeds.

5. Provide a copy of divorce decree, if applicable.

6. If you are not a US citizen, provide us with a copy of your green card (front & back), or if you are not a permanent resident provide us with your H-1 or L-1 visa.
 BECOME PRE-QUALIFIED

Getting qualified before you apply for a loan can help you understand how much you can borrow.

When buying a house, you may get "pre-qualified" or "pre-approved." Normally, you can get pre-qualified over the phone or on the Internet in just a few minutes. A pre-qualification is not as beneficial as a pre-approval. To be pre-approved, you must go through a more detailed process including verification of your credit, income, assets and liabilities. It is highly recommended that you get pre-approved before you start looking for a house. This will:

1. Determine the maximum dollar value of the house you can purchase, so you don't waste time looking for properties you cannot afford.

2. Position yourself in a stronger buying position when you and your real estate consultant are in the negotiating process with the seller because they know that your loan has already been approved.

3. Facilitate an easier, faster close.
 SHOP LOAN PROGRAMS AND RATES
To shop for a loan you will need to:

1. Think about how long you plan to keep the loan. If you plan to sell the house in a few years, you may want to consider an adjustable rate or balloon loan. On the other hand, if you plan to keep the house for a longer period of time, you may want to look at fixed rate loans.

2. Understand the relationship between rates and points. Points are considered to be prepaid interest and are tax deductible. Each point is equal to one percent of the loan. For example, 1 point on a $150,000 loan is $1,500. The more points you pay, the lower the interest rate. Compare different programs. Shopping for a loan can be a challenge. With so many programs to choose from, with different rates, points and fees, it's hard to determine which program is best for you. An experienced loan officer can help you make a decision that's best for you. 
 OBTAIN LOAN APPROVAL

Once your loan application has been received, the loan approval process can begin. This involves verifying your:

1. Credit history

2. Employment history

3. Assets, including your bank accounts, stocks, mutual fund and retirement accounts

4. Property value (s)

Based on your personal situation, additional documents or information may be required. To improve your chances of getting a loan approval:

•  Fill out the loan application completely.

•  Respond promptly to any requests for additional documents. This is especially critical if your rate is locked or if you plan to close by a certain date.

•  Do not make any major purchases. Do not buy a car, furniture or another house until this loan is closed. Increasing your debt load may jeopardize your loan approval.

•  Do not move money into your bank accounts unless it can be traced. If you are receiving money from friends, family or other relatives, please contact your loan officer.

•  If you must be out of town when your loan is expected to close, you may sign a "power of attorney" authorization assigning another qualified person to sign your loan documents on your behalf.

CLOSE THE LOAN

After your loan has been approved, you will be required to sign the final loan documents. Usually, this takes place in the presence of a notary public (who also happens to be your title company closer). Be prepared to:

•  Bring a cashier check for your down payment and closing costs, if required. As a rule, personal checks are not accepted.

•  Review the final loan documents. Make sure that the interest rate and loan terms are what you were promised. Also, verify that the name and address on the loan documents are accurate. (Your real estate consultant will be present at the closing to assist you with any questions or concerns.)

•  Sign the loan documents.

Normally, your loan will close shortly after you have signed the loan documents. However, Federal law requires that you have three days to review the documents before your loan transaction can close for refinance and home equity loan transactions.