THE MORTGAGE LOAN PROCESS

What To Expect During The Mortgage Application Process

 

Overview

 

At First Liberty Bank, our experienced mortgage loan officers will help guide you through each step of the mortgage process.  The following is meant to provide you with an overview of what to expect.

 

  • Getting Started  

  • Getting Pre-qualified

  • Selecting the right type of mortgage to fit your needs

  • Applying for the loan

  • Loan Processing

  • Underwriting

  • Document Preparation and Loan Closing

 

Getting Started


Get started by contacting a mortgage loan officer.  First Liberty Bank loan officers are experts in mortgages and can answer all of your questions and present various loan options that will best suit your needs. You can contact a mortgage officer  directly to schedule a face to face or phone meeting or click the Apply Now button below and complete your information online. A mortgage lender in your area will contact you as soon as possible.

Getting Pre-approved


Before starting the process of home shopping, we encourage you to get pre-approved for a set loan amount.  To begin the pre-approval process, you will provide your loan officer with information and documentation regarding your income, assets, and liabilities.  Your loan officer will pull your credit report and discuss with you the checklist of documents  required. Some of the information needed will be:

 

  • How much money do you have for down payment and closing costs?

  • How much of a monthly payment are you comfortable with?

  • What is your income?

  • What are your monthly debts?

 

Based on this information, your loan officer will determine a maximum mortgage loan amount based on the type of loan you qualify for and provide you with a pre-approval letter .  This letter is a tool that tells the seller that you are serious about purchasing a house and have the capability to do so.

 

Selecting the Home Mortgage to Fit Your Needs


There are many types of loan products, and your First Liberty Bank loan officer will work with you to choose the right mortgage product based on your needs.  These products will depend on the information you provide during the pre-approval process.

 

Applying For Your Loan


Once you have selected a property, the actual loan application process begins.  Your loan officer will need a copy of the purchase contract and will then provide you with a Loan Estimate and other loan disclosures via a secure online portal.  You must acknowledge the disclosures and agree to an intent to proceed before the loan process can move forward.  

 

IMPORTANT NOTE
From the time of your application to loan closing, it is important you do not take any action which would negatively affect your loan status. It is suggested you:

 

  • Do not open any new additional credit

  • Do not quit or change jobs, including retiring

  • Do not make any large deposits into your bank account

  • Do not transfer any large amounts from one financial institution to another

 

Please contact your mortgage loan officer immediately if anything listed above is expected to take place during the mortgage loan process. See our Important Tips page for a complete list of Do's and Don'ts.

 

Loan Processing


A First Liberty Bank loan processor will work closely with you and your mortgage loan officer to prepare your file for underwriting.  The loan processor will perform the following functions:

 

  • Order appraisal

  • Order title work

  • Complete income asset and rental verifications

  • Request any additional information needed to complete your file

  • Keep you updated on the progress of your loan

 

Underwriting


Once the processor has a completed the loan package, it will be sent to an underwriter to validate all of the information received in the loan packet.  They will review the appraisal, title work and all of the loan documentation.  The underwriter will supply the loan processor with a list of conditions or questions that need to be clarified (if any). The loan processor may need to contact you for additional documentation and will submit the file back to the underwriter.  We will send you a notification when underwriting is completed and approved. We then prepare your loan for closing.

 

Document Preparation and Loan Closing


Once your loan file is cleared and ready to close, we will work with the title company/settlement agent to prepare your closing documents.  We will provide you with a Closing Disclosure which you must acknowledge at least three business days prior to closing.  The initial Closing Disclosure is a statement of loan terms and closing costs which will include the amount of funds you will need for closing.  The loan documents will be sent to the title company/settlement agent.

At closing, a representative of the title company will review all of the loan documents with you and ask for your signature on all pages and pay remaining costs, if applicable.  Once the documents have been signed, your loan will fund and be recorded by the title company. Keys are exchanged after the title is recorded.