The Loan Process | All American Mortgage

You've been looking at houses for months and months, and you have finally found it--the house that's just right. Now, you're anxious to buy your new home, move in, and get settled. But you still have an important task ahead of you--getting a mortgage loan.

The APPLICATION process has several purposes:

Assist the applicant(s) in selecting the appropriate loan programs
Gather basic information from the Applicant/Borrower needed to underwrite the loan
Inform the applicant/borrower of all details of the mortgage loan program, including full disclosure of costs
Pre-qualify applicant/borrower for the ability to repay the loan

Loan PROCESSING includes collecting and verifying detailed information on the applicant/borrower and the property being purchased or refinanced.

Obtain a credit report from Credit Bureau and perform ratio analysis
Obtain and verify (if required) income from pay stubs PW2s
An order title search on the property from the title company/attorney
Order appraisal on the property from the appraisal company
Send disclosure forms to the applicant/borrower
Follow up with title company, appraiser, customer on a consistent basis
Once all information is obtained, submit customer file to the Underwriter

Loan UNDERWRITING is a process that determines loan eligibility.

The lender verifies and validates that the information provided by the applicant/borrower is correct. Once the lender makes the decision to approve the loan, a commitment letter is sent to the customer.

Loan CLOSING is the final stage once the loan is approved.

Documents are signed by the applicant/borrower with an Attorney/Title Company. Funds are disbursed.