By: Christina Siegel
Many homebuyers spend a lot of time wondering how Lenders determine a potential buyer’s purchasing power and just how their qualifications affect the mortgage pre-approval process. While those details are very important to a successful experience, it is equally important to understand what comes after pre-approval. Below is a little insight from the mortgage processing professionals who work at the Kelly Team at Envoy Mortgage.
My Loan Officer/Mortgage Broker Said I’m Pre-Approved – What’s Next?
If you’re unsure of the answer, you are definitely not alone. Clients spend a lot of time and energy assembling a great Realtor and Loan Officer team to help us with their home-buying needs. But in reality, that team can only get you so far. Once you are under contract to buy a home, your loan is submitted to the processing and underwriting departments. It is there where your fulfillment team, led by your Processor, takes the lead and becomes your greatest asset. During the approval process, your Processor becomes your ally and advocate, he/she acts as a liaison with the Underwriter, communicating quickly and accurately — while keeping you informed and on track for an on-time and smooth settlement.
What Does My Processor Do?
Generally, during the early stages of the process once you’re under contract can be both exciting and stressful. Between scheduling and attending your inspections, as well as gathering all necessary documents and disclosures for your loan, there is a lot to accomplish in a short amount of time – and it is during this time that your Processor becomes your main point of contact. And while we can can’t make any guarantees about every individual buyer’s situation, we can absolutely promise that the Processing Department at the Kelly Team at Envoy mortgage is extremely dedicated to supporting our clients each and every step of the way to ensure that you make settlement on time, every time.
Some highlights include:
- Document gathering – It is the responsibility of your Processor to ensure that all necessary documents are included in your application. Although some clients can get frustrated at this stage with the sheer volume of things that are required, it’s important to understand that the good Processors know the guidelines. They also understand that the more complete your initial application is, the easier it will be, and the more accurately your Underwriter can approve your loan. This equates to less stress and a faster settlement for our clients. We recommend that you make the up-front investment to work with your Processor early and you will reap the benefits down the line.
- Document review – Once your documents are received, a comprehensive review of all documentation becomes imperative. Top Processors don’t just funnel your paperwork to the Underwriter, they take an active role in reviewing each document for accuracy. This approach can not only save you time and unwanted stress, it can help avoid additional questions and concerns from Underwriting as well as prevent major issues. You should expect to have regular check-ins with your Processor throughout the entire loan process — in fact, you will likely develop a strong relationship as they help you meet your goal of home ownership.
- Preparation for Underwriting – Now that your loan application is complete, and all necessary documents have been reviewed, your Processor will prepare and submit your loan for initial Underwriting approval. This encompasses prioritizing and organizing documentation, ordering and reviewing necessary verifications and working with the Title Company and your Homeowners Insurance Agent. Your Processor will ensure your loan is approved accurately and timely.
- The path to settlement – Once your loan is conditionally approved by Underwriting, a mortgage commitment is issued, and your Processor will work with you to gather the final things needed to clear your loan for settlement. This final stage is a combination of the previous three stages as your Processor will work with you and Underwriting to finalize your approval and clear your loan to close. Reaching this stage usually means you’re very close to the finish line!
As someone whose job is to oversee the loan processing function – and perhaps even more importantly, as a homeowner myself – I can guarantee that our team at Kelly Mortgage will be here for you every step of the way. Whether you’re just starting to think about purchasing your first home, or you’ve already found a home you love and have pre-approval, our mortgage processors will support you through every step, and ensure you have the best possible chance to secure your dream home.