1. Organize Documents (as listed below: Note: other documents may be necessary)
2. Call Chris Prang The Mortgage Analyst
3. Get Pre-Qualified by filling out 1003 Loan Application
4. Fill out "Personal Real Estate Advisory Form"
5. Meet to discuss Financial Goals & Priorities (If applicable have contact info for your Financial Planner, Accountant or Tax Attorney, Realtor, Business Partner)
6. Determine from Mortgage Analysis the best program to help you accomplish your long-term financial goals
7. 7. Apply For The Loan (Sign all necessary documents and pay for any upfront fees)
8. Get Loan Approval
9. Close The Loan
10. Receive Monthly or Quarterly RateWatch Reports

The loan approval process generally begins with an initial interview where the prospective home buyer and the mortgage professional meet to discuss the potential loan. You will need to bring information to verify your income and long-term debts.

Often people prefer to meet with me before house hunting to determine in advance what price range they can realistically afford and the mortgage amount for which they can qualify. This step is called pre-qualification and can save you much time and trouble by making certain you are looking in the correct price range.

For your first meeting with me, you should bring:

• A purchase contract for the house (if you have one)
• Your bank account numbers and the address of your bank branch, along with checking and savings account statements for the previous 2-3 months
• Pay stubs, W2 withholding forms, tax returns for two years, or other proof of employment and income verification
• Divorce settlement papers, if applicable
• Credit card bills for the past few billing periods, or canceled checks for rent or utility bill payments, to show payment history and amount of revolving debt
• Information on other consumer debt such as car loans, furniture loans, student loans and retail credit cards
• Balance sheets and tax returns, if you are self-employed
• Any gift letters, if you are using a gift from a parent or relative or other organization to help pay the down payment and/or closing costs.
• This letter simply states that the money is in fact a gift and will not have to be repaid.

Having these items on hand when we visit will help speed up the application process. Usually an application fee and the appraisal fee will have to be paid when you submit the mortgage application. This is only done after you have successfully negotiated on a home and have had your offer accepted by the seller. Generally, there is no fee for pre-qualification.

Typical Fees Associated with a loan you may see on a Good Faith Estimate
*These will vary from lender to lender

• Discount Points: Are charged to buy down the interest rate. One point equals 1% of the loan amount.
• Origination Fee: A fee that may be charged for originating a loan. Also based on one point equals 1% of the loan amount.
• Lender/Underwriting Fee: $400-700
• Courier Fee: $50
• Geo Trac/Flood Certification: $18
• Tax Service Fee: $65
• Attorney/Title Co/Closing Fee: $400
• Appraisal Fee: $350
• Title Insurance: $3.50 per 1000 of loan amount + $100
• Processing Fee: $450
• Recording Fee: $35
• City/County Tax Stamps: Loan amount x .002 + $20
• Escrow Payments:
  • Hazard Insurance: 5-17 months depending on purchase or refi and current balance in esrow
  • Real Estate Taxes: 5 months