Thank you for your interest in my home loan products and services.  I've prepared this web page to explain the steps of getting a home loan. Don’t hesitate, however, to call or e-mail me with any questions or concerns you may have about the home loan process. First, a little background….

My Responsibility to You

Like the flight crew of an airplane, I will get you to your destination—help you meet your financing objectives. I want your experience to be timely, comfortable, and all in all a great trip. I stay focused on the journey. During the flight I will provide you with professional mortgage consultation and services. I will be candid about any turbulence or other delays along the way. It is my objective to get you to where you want to go.

Most new clients are referred to me by family, friends, and loyal, happy clients. While most lenders spend 90% of their time seeking new business from the general public, I devote that time and energy on the important details of your transaction. It is vital to me that your goals and dreams of home financing and ownership are realized, and that your experience is a rewarding one.

Your Part                                                                                                              In order to provide this high level of service, I truly need your heartfelt endorsement to those in your sphere of influence who would appreciate being served by someone whose commitment to them is for Life. I have a vision and that is to create and build strong and lasting relationships one at a time - beginning with you. So when you know someone who is looking to buy, sell, or finance a home, please tell them to call me. I will treat all those you refer to me with the utmost care and consideration, because I want to be Your Mortgage Consultant for Life! 

Meeting Your Expectations

I want to understand where you want to go and how you want to get there during this home loan process. It is my job to understand your goals for home ownership and for a home loan that fits your budget or financial plan. Please don’t hesitate in contacting me as your thoughts and ideas develop or as questions occur.

The Home Loan Process – An Overview

Obtaining a home loan is a process of application, approval, and celebration.

• Willingness to repay debts and obligations (credit history).
• Ability to manage income and debt (assets and liabilities).
• Value (appraisal) of your prospective home.

The approval process begins once the application process is completed. The approval process culminates in an activity called underwriting where your loan request receives its final evaluation.

What most companies call a “closing”, I call a celebration. This process begins after loan approval. It is the culmination of the transaction and the beginning of home ownership.

Going through the process is much like taking a trip on an airplane. Time and place of departure is clear but, on occasion, there can be unforeseen turbulence which may make the time of arrival a little uncertain. 

What Kind of Home Loan is Right for You?

I know that you want a home where your family can grow and your dreams can be realized. I know that financing makes home ownership possible and the more financing options the greater your opportunity. I have a multitude of options for financing your home loan. There are hundreds of loan programs, too many to mention here. Suffice it to say I have something that fits you and your budget. Just tell me how much cash, if any, you want to invest and in what payment range you want to keep your monthly payment. I’ll find the loan program that is just right for you.

Applying for Your Home Loan

You may apply for your home loan in one of the following ways:

• Apply online. This takes about 35 minutes. The web site is very secure. Be sure to complete the application at one sitting. There are two application forms to choose from, “Short” and “Full”. Choose the “Short Application” form unless you are experienced at completing home loan applications.
• An application can be e-mailed to you for you to complete and e-mailed or faxed back to us.
• An application can be faxed to you for you to complete and e-mailed or faxed back to us.
• An application can be made over the phone by appointment
• An application can be taken in person by arranging for an appointment.

What to Provide at Application

At the time of home loan application you will be asked about your:

• Two-year residence history complete with names, addresses, and phone numbers of landlords or property owners.
• Two-year employment or income history complete with names, addresses, and phone numbers of employers or income sources.
• Balances in checking, saving, retirement, and investment accounts.
• Summary of all properties that you currently own with addresses, value, rental income, and mortgages.

If you are an employed borrower, we need:

• The most recent month’s paystubs. Provide as many as you would receive in a month.
• The last two years of any and all W2 forms from your present and previous employers.
• Two months bank statements that show how much cash that you have available and…
• Other statements showing investment or retirement accounts

If you are a self-employed borrower, we need:

• Last two years personal tax returns. If incorporated…
• Provide the last two years corporate returns. If a partnership…
• Provide last two years partnership returns
• For the current year we will need a Profit and Loss Statement and a…
• Financial Statement regarding your self employed business.

If you a non-employed borrower or a borrower with other incomes, we need:

• Award Letters evidencing pension, retirement, social security, or other sources of income.
• Bank statements or other evidence of interest income
• Lease agreements, Notes, Contracts, and/or any other documents evidencing income

Typical fees collected at time of completion of application - $425.00 will be collected at time of completion of the application to offset the cost of appraisal and credit report. This money is paid to people and agencies that provide services and is therefore non-refundable.

Importance of Providing Documentation in a Complete and Timely Manner

The home loan application process is all about proving your ability and willingness to repay debt. At some point you may be called upon to provide documentation or other information such as that listed above to support your application. Please make every effort to provide any requested items as quickly and as completely as you can. Doing so helps me to help you expeditiously obtain your home loan. Please do not hesitate calling me if you have any questions about what you need to do to complete your home loan application.

Getting the Best Interest Rate Your interest rate is dependent on three things, the quality of your credit, the loan program that you select, and the amount of cash investment you make. If a mortgage company quotes an interest rate to you without knowing these three factors then that rate is subject to change.

Locking In an Interest Rate

The purpose of “locking” an interest rate is to remove worry during a volatile interest rate market. If you haven’t already locked in an interest rate, this can be done at any time during regular business hours by calling our team members or me. If you have questions about the direction rates are heading check out the web site, www.bankrate.com and click on “Rate Trends””. You can also check out financial news services on the internet such as CNBC, Bloomberg, or CNN at their web sites, www.cnbc.com, www.bloomberg.com, or www.cnn.com.  The key words to look for are U.S. Treasuries, bonds, and rates.

No one knows the best time to lock or not to lock in on an interest rate. Basically if you hear good news about the economy—rates tend to go up. If you hear bad news then rates are usually heading down.

Important. Please read. Your lock has a no-fault expiration policy. If your loan fails to close for any reason regardless of events, circumstances, or intentions within the guarantee period, it will float until re-guaranteed at the higher of either 1) the original guaranteed rate, or 2) the rate in effect on the day of re-guarantee. Please note. This is a “no fault” expiration policy. Please make sure you discuss this matter thoroughly with your loan officer. 

One or More of the Following Things Done May Be Done for the Home You Buy

• Appraised for value
• Inspected for damage and needed repairs
• Inspected for wood destroying pests
• Septic system inspected
• Boundaries checked or surveyed
• Well water tested
• History of Title researched

The results of these things will be given to you at the closing of your loan. You can, however, call us to find out the outcome of any of the above activities.

The Closing Process

After your loan has been approved, a request is sent to a title company to close out the transaction. The person in charge at the Title Company is the closing agent. The closing agent functions as an intermediary to all parties to your transaction. The closing agent insures that the property that you are buying is free and clear of encumbrances. The closing agent checks to make certain that all documentation is correct.

Get Acquainted With Your Closing Agent.

Usually your closing agent will call you to review the closing of your loan and the transfer of property into your name. Feel free to call me to obtain the name and telephone number of your closing agent assigned to your loan transaction. Feel free to contact your closing agent to discuss any details of this transaction.

The Contract of Sale

The contract of sale or the purchase contract is the centerpiece of the whole purchase process. It ties together all parties to the transaction. It provides a time frame within which the transaction must occur. Your real estate agent, your lender, and other service-providers work together to make sure that the terms of the contract are fulfilled.

The last service-provider involved in your transaction is the Title Company, which is responsible for making sure that your transaction is closed out, or executed as agreed to in the contract.

Home owners Insurance

You will be asked to search for and select the insurance company that you want to provide insurance coverage for your residence. In most cases all that you need to provide your closing agent the name and telephone number of your insurance company. Please note that if your property lies in a designated flood hazard area you may be required to obtain additional insurance.

Certified Funds

Prior to closing you will be asked to bring a specific amount of money to your closing appointment. Those funds must be in the form of a cashier’s check or certified funds made payable to the Title Company.

Power of Attorney

On some occasions a legal document authorizing one person to act on behalf of another may be necessary. This document is called a Power of Attorney. This document must receive prior approval both from your lender and your title company. Please give as much notice as possible if a Power of Attorney will be needed in your transaction.

Annual Percentage Rate (APR)

You will receive a Truth in Lending Disclosure statement twice during the process—once at application and again at closing.  The total cost of all finance charges on your loan is stated as an annual percentage rate or APR. The APR represents the dollar amount of finance charges you pay either up front or over the life of the loan converted to an annual interest rate. Since the APR includes origination fees and other charges, as well as interest on the mortgage loan, the APR is usually higher than the interest rate on the loan.