Published by: M. Mittler | 3/11/2021

A 4 Step Guide to the Mortgage Process

Seeing the process, from start to finish, takes the mystery out of applying for your mortgage. Here’s everything you need to know about each step in the process.

Step 1: Get Prequalified. 

 

WHAT HAPPENS: Answer a handful of questions about the house you’d like to purchase, your down payment and credit historyYour loan officer tells you what interest rate, monthly payments and closing costs you can expect to pay for your future mortgage. 

 

DOES IT AFFECT YOUR CREDIT? Getting a rate quote does not affect your credit. With accurate credit and property info from you, we can build a rate quote that reflects what you can expect without pulling a credit reportGetting prequalified, however, does require a credit inquiry. 

 

WHY GET PREQUALIFIED? It's an estimate, in writing, of the mortgage amount you’ll likely qualify for, based on your financial factors. Prequalification is a powerful tool in your house-hunting journey — and real estate agents recommend you get one before setting foot in a house. 

 

IT ONLY TAKES A FEW MINUTES. Walking through your rate quote or prequalification with your loan officer takes no time at all — and can save you plenty of time in the long-run. 

 

WHAT'S NEXT? Once you find the house, make an offer (that's where that prequalification comes in) and get that offer accepted, it is time to complete your application. 

 

 

Step 2: Complete your application. 

 

WHAT HAPPENS: If you completed a rate quote or prequalification with a Union Home Mortgage loan officer, s/he will verify the information you’ve already provided. That’s when things get official. Your loan officer will be your single point of contact until the end. We’ll pull your credit history and collect details about your finances and the property you’re buying to verify your qualifying rate and terms. 

 

UPLOAD YOUR DOCUMENTS: Your mortgage application is unique. While you can expect to provide documentation that verifies your income, employment and assets (think paystubs, offer letters, bank statements, tax returns), your loan officer will tell you exactly what documents you need to upload, and where, before we move your application to the underwriters. 

 

WHAT'S NEXT? As your mortgage application is evaluated by our underwriting team, your loan officer will keep you updated about what’s happening, as well as any news or other requirements to process your application. 

 

 

Step 3: You're Approved! 

 

CONGRATULATIONS! Let us be the first to congratulate you! You’re one step closer to purchasing your home with Union Home Mortgage. Pretty much the second it happens, your loan officer will contact you to let you know you’ve been approved! 

 

WHAT'S NEXT? When your loan officer delivers the good news, s/he will outline the closing process, including what needs to be reviewed, signed and paid, when, where, and how. 

 

 

Step 4: Close on Time 

 

HOW IT WORKS: With your loan approved, your loan officer will tell you the amount you’ll need to pay for down payment and closing costs (via certified check). Documents to transfer the property to you will be thoroughly reviewed, and then you (the buyer) and the seller will be scheduled, separately, to sign and finalize the transfer. 

 

WHAT TO PREPARE: Your loan officer will work with you and a closing agent to arrange a date to sign your closing documents. Signing day makes your mortgage official. Submit all documents and complete all tasks on schedule, and you can close on time. 

 

WHERE DO YOU SIGN? Your loan officer will work with you and a closing agent to arrange a date to sign your closing documents and provide your down payment and closing costs. Depending on your state and loan type, you may be able to electronically review and sign your closing documents. Talk to your loan officer about these options. 

 

 

Bonus: Move In — and Keep in Touch. 

Congrats on your house! Buying a home is no small feat — whether it's your first or fifth. 

 

Wherever you finance your home, be sure to stay connected with your loan officer, who can help you understand, year over year, whether you're in the right mortgage. Rates may change. So might your credit score. At Union Home Mortgage, we check-in once a year to help you get ahead of market expectations and on top of your financial goals.