The Loan Process

Obtaining a mortgage is one of the largest financial processes you will ever go through. However, using the right Mortgage Loan Officer will make this process uncomplicated, quick, and one you would be willing to go through again when you are ready for your next home purchase.

There are four main steps to the loan process:

  1. Pre-qualifying for a Mortgage Loan.
    Before you begin the search for your home, it is beneficial to have an idea of how much you can afford to spend on a home and how much you can borrow.

  2. Apply for a Mortgage Loan.
    After you have made an offer on the home you want to purchase and the offer has been accepted, your Mortgage Loan Officer will be there to help you decide which type of mortgage loan is right for you and guide you through the loan process.

    At your convenience, you can complete your loan application in several ways:
    • A face-to-face interview with your Mortgage Loan Officer;
    • The application package can be sent to you via overnight express mail or via a secured email; or,
    • You can complete your loan application online here and it will be sent electronically to your Mortgage Loan Officer.

  3. Obtain Loan Approval.
    Our experienced Processors will complete the processing of your mortgage loan and submit the file to our in-house Underwriters for a final determination.

  4. Attend the Closing.
    After your loan is approved, your Processor will coordinate with the closing agent and make sure all of your paperwork is in order and that you have the time needed to review the closing documents. At the closing you will be asked to sign the necessary documents and upon completing that…you will be given the keys to your new home.

In order to help you prepare for the loan process, below is a Loan Application Checklist you can use to gather the paperwork you will need before meeting with your Mortgage Loan Officer:

Property Information: (if you currently have a contract on a house):

  • Copy of Sales Contract (fully executed by all parties)
  • Copy of Multiple Listing Sheet on subject property
  • If you are selling your current home, a copy of the sales contract or multiple listing sheet on the home you have listed for sale
  • If you have already sold your current home (within the past 3 months), a copy of the closing settlement statement (HUD-1)

Personal Information: From each person on the mortgage loan application;

  • "Clear" copy of Photo ID
  • Proof of Social Security number
  • If applicable, a copy of your divorce decree
  • If you are not a citizen, a copy of the front and back of your green card / current Visa

Residency:

  • Residence addresses for the past two years
  • If currently renting or if you have rented within the past two years, the name, address and phone number for each landlord.

Income / If You Are a Salaried Employee:

  • Name and addresses of each employer (past and present) covering a two year period
  • Most current and consecutive pay-stubs from each employer, covering a 30-day period
  • Most current and consecutive W-2's from each employer, cover a two year period
  • Most current and consecutive "signed" personal tax returns with all schedules covering a two year period

Income / If You are Self-Employed:

  • Work history information for the past two years
  • Most current and consecutive "signed" Personal Tax Returns with all schedules covering a two year period
  • Most current and consecutive "signed" Business Tax Returns with all schedules, covering a two year period
  • Year-to-date Profit and Loss Statement with Balance Sheet, prepared by an accountant

If You are Retired:

  • Copy of Pension Award letter
If You Receive Social Security/Disability:
  • Copy of Social Security / Disability Award letter
If you are counting Child Support as Income:
  • Copy of divorce settlement
  • Copy of twelve months cancelled child support checks
If you own Rental Property:
  • Copy of current rental agreements (leases) signed by all parties

Debts:

  • Names of Creditors, account numbers, balances and monthly payments for all current loans
  • If you are paying child support or alimony, copy of divorce decree
  • Written letter signed and dated by you, explaining any credit report anomalies, including:
    • Late payments, credit inquiries from others in the last 120 days, charge-offs, collections, judgments, foreclosures or bankruptcy, etc.
    • If you had a Bankruptcy filed within last seven years (a copy of your bankruptcy papers)

Assets:

  • Most current and consecutive statements for each bank, mutual fund, and/or investment account covering a two month period (all pages).
    • If you have made any large deposits to your accounts:
    • A letter signed and dated by you explaining the large deposits and documentation to prove the source of those funds.
    If you are receiving gift funds:
    • A signed gift letter from the donor (your Mortgage Loan Officer can supply this form)
    • Copy of donors bank statement showing where the funds are coming from
    • Copy of gift check from the donor proving the funds were withdrawn from that account
    • Copy of deposit receipt (when gift funds have been deposited to your account)

VA Loan:

  • Copy of form 1880 (your Loan Officer can get you a copy of this form)
  • Copy of Certificate of Eligibility

Once you have gathered all of the necessary information and are ready to begin the loan process, contact your HomeBanc Mortgage Loan Officer who is ready to help you reach your goal of home ownership!