Behind the Scenes Look at Your Loan
May 28th, 2008 Categories: For Buyers
It’s a mystery to many people how loans actually take place. You know you need to speak with a lender but what exactly are they in charge of? What is going on after you get acceptance on your offer?
The lender is a crucial part of your buying team- they are overseeing your loan from beginning to end. A good lender equals much less stress for you during your escrow!
Here’s a behind-the-scenes look at a 30 Day Escrow:
1. Prequalification and Preapproval- done before writing an offer!
2. Loan Application (during this time, the lender will order the appraisal, escrow or agent will usually order the preliminary title report)
3. Loan Submitted to Mortgage Company
4. Processor Review (collects escrow, appraisal, prelim, etc.)
5. Submit to Lender
6. Lender Approval (release of the loan contingency)
7. Collection of Conditions
8. Lender Review of Conditions (give a clear to close, sends to doc department)
9. Docs Drawn
10. Docs Sent to Escrow
11. Borrower Signs
12. Docs Sent Back to Lender
13. Lender Reviews
14. Lender Funds
15. Loan Closes (title records)
16. Celebrate!!
If you have any questions about these steps, please let us know.
Lenders out there, please feel free to give your two cents about these steps as well!
You two consistently write posts well worth reading. Thank you!