Mortgage
loan processing involves a series of steps that are completed within a period
of six to ten weeks. It is a very lengthy and intricate procedure for the
parties involved. The mortgage loan processor oversees the entire process while
the borrower adheres to the instructions given by the lender. Do you want a
house loan? If so, you may want to know how to go about it. The steps are
generally the same but your lender might have unique standards. There are about
four steps that you should expect to complete during Mortgage loan processing.
They are explained below.
Applying
for a mortgage - After locating a suitable lender, you will fill out a loan
application form. These days the process is done electronically on the
internet. After filling all the blank spaces, as openly as possible, you will
submit it to the mortgage processor. The processor will contact you immediately
instructing you to deliver certain documents. These include your recent bank
statement, pay stub, W-2 forms and income tax returns if self-employed. The
paper work is normally sent by mail and so the Mortgage loan processing can be
delayed.
Verification
of information on documents - When every document reaches the loan processor,
the actual processing will officially begin. The documents will be critically
verified to make sure that they are genuine. To do this the verifiers might
call your employer, landlord, bank or other entities that are featured in your
documents. If you pass the pre-approval step, meaning that you have fulfilled
all the requirements, the Mortgage loan processing overseer will send your file
to the lender. Title report and appraisal processing begins at this step. The
lender normally takes about 14 days to validate your documentation although
this can vary. If your house loan is eligible for the Loan Prospector, it will
be executed faster via automated computer systems.
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