The Mortgage Application Process

Congrats! You found the place you want to call home and the seller has accepted your offer. Now you just have to get your home loan. Don’t worry, the steps to applying for a mortgage are more streamlined than you may think.

Give yourself a pat on the back — you did it! And now that you’ve got a move coming up, take a look at our Ultimate Moving Checklist.

STEP 1. The Mortgage

Application

STEP 2. Loan

Estimate

STEP 3. Intent to Proceed

STEP 4. Loan

Processing

STEP 5. Underwriting

STEP 6. Closing

Documents and Signing

1-2 DAYS —This is the beginning of your journey. After you find the lender you wish to work with, you’ll fill out their mortgage application and provide documents such as W2s, bank statements, and tax returns.

1-3 DAYS —Within three days of submitting your application, you’ll receive a loan estimate. This document lays out all of the terms and associated fees with your loan — such as your estimated interest rate, closing costs, and your monthly payment.

1-10 DAYS —After you review your estimate, you have ten days to let your lender know if you’d like to proceed. Remember, you are free to shop around for different rates and costs.

3-5 DAYS (SOMETIMES LONGER) —Once you’ve notified your lender that you’d like to move forward, your application will move into processing. Loan processors will gather all of the documents you sent with your application, as well as information about the property. Plus:

• Credit reports• Information such as your assets, income, and

employment• A current home appraisal • A title report

3-7 DAYS (SOMETIMES LONGER) —Now it’s approval time. The underwriter will review all of the documentation and decide whether you meet the eligibility guidelines for this loan. Factors such as credit score, debt-to-income ratio and your financial status will determine if the loan fits your life.

4 DAYS —You’re almost there! First, you’ll receive your closing documents three days prior to signing. And then after reviewing them, you’ll hit the closing table and sign your John Hancock.

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