Securing A Mortgage Loan…
Securing a mortgage loan involves multiple parties to work together – lender borrower and mortgage broker. While all the process is taken care of and you have been selected as a successful candidate, you must think, what’s next?
Once the candidate has secured a mortgage loan, he is sent an offer letter so that all information can be checked and required changes can be done. This is extremely important in order to check for any mis-information or wrong information. It also ensures that all information is updated according to changes such as income, employment status or purchase price.
The next step involves signing the mortgage offer as all information has been credited by both parties. This can be done in-person as well as online.
After the agreement has been passed the broker agrees to a date where all money exchanges should occur making sure all funds due come from banks or financial information that you have provided in the applications. It is advised that loan duty or any payables should not be transacted or cashed back through cheques.
Congratulations on Being a Homeowner!
This whole process after the mortgage loan approval is known as closing disclosure. Your date of closing is the same date you attain your home ownership. Connect with your broker to get the new keys to your home and ta-da! You are now a new homeowner.
Mortgage Loan Process FAQ
How long does it take for a full mortgage loan process?
An ideal mortgage loan process should take 6-8 weeks. However, this may vary from case to case depending on the lender and loan type. Banks and facilities like credit unions can take more time due to their processing delay due to load. It may also stretch up to 60 or more days in varying cases.
What does it mean that a mortgage application is being processed?
Mortgage loan application is a lengthy process. For an application to be processed means that all information provided on it is being verified and corrected through sources.
What are some of the reasons for denying loan applications?
Typically, the application is an identifier of a potential candidate. If you are seemingly at a higher risk depending on your asset, credit history, income and other liabilities you may be rejected. It is important to provide correct and up-to-date information for reducing the chances of rejection.
What if the seller increases the price during the process?
This is a question best suited to the mortgage broker. If there is written evidence, you have chances of making a point or else talk to your broker before deciding on anything.