Applying for a Loan

Pre-Qualification

The first step toward a home purchase is getting pre-qualified for a loan. Your Loan Officer will review your financial information and determine how much you are qualified to borrow. As a pre-qualified buyer, your offer on a home is more likely to be accepted.

• Loan Preparation Checklist
  1. Copy of photo ID
  2. Social Security number
  3. Copies of checking and savings account statements for the past 3 months
  4. Most recent pay stubs detailing your year-to-date earnings
  5. Federal tax returns with W-2’s, K-1’s, 1099 for the past 2 years
  6. Evidence of any other assets such as stocks and bonds
  7. Contact name and address of someone who can verify your employment
• Since everyone’s situation is unique, additional documentation might be required. Your Loan Officer will let you know exactly what is needed.

Making an Offer

Once you have found a home, you will make an offer to buy it from the seller. A real estate professional will conduct negotiations and a contract will be submitted to purchase, accompanied by the pre-qualification letter.

Mortgage Process

When the seller accepts your offer, you begin the mortgage process. Your Loan Officer will gather your financial information, loan application and provide the initial disclosures based on your loan terms.

• This process will also include
  1. Ordering the appraisal; estimating the value of the home
  2. Ordering/updating your credit report
  3. Submitting your loan to Underwriting for review
  4. Conditionally approving your loan (additional documentation might be requested)
  5. Providing information on homeowner’s insurance and selected title company
  6.  Underwriting approval on all acceptable documents
  7. Final loan approval – you are cleared to close!
• Your Loan Officer will keep you informed, answer your questions, and navigate you through the loan process.

Closing Process

In the days leading up to settlement, you will be sent final documentation about your loan, including the Closing Disclosure. You must review, sign and return the paperwork a minimum of three days prior to your scheduled closing date.

Your Loan Officer, or a designated employee, will tell you the amount of money you need to close on your home.

• What happens on closing day
1. Meet with your settlement agent as well as your Loan Officer, or designated employee.
2. Provide funds to the title company to cover your down payment, closing costs, taxes, insurance and other costs.
3. You and the seller will execute all closing documents so the settlement agent can properly record the purchase of your home.

Making Your Payment

Your settlement documents will include instructions on how to make your first payment. While First Home services many of our loans, it is possible servicing will be transferred. You will be mailed a notification that designates your mortgage servicer.