The Basics of
Obtaining a Mortgage
There are 3 steps to getting a mortgage loan officer who is right for you!
Step 1: Finding the right Loan officer for you to work with.
Although this may sound simple it is not. Many people will be able to talk you into working with them because they are great at describing how successful they are. The fact that they are successful or are able to wax poetically about their qualifications and describe the ease you will have in getting a mortgage with them really has nothing to do with the first and most important part of the job of a Mortgage Loan Officer, that is to listen. Listening to you and what you want, need and expect is the first part and best way to know how successful you will be with this person in obtaining a mortgage. When you are looking for someone to work with make sure they are better at listening that talking. The job of the MLO (mortgage loan originator) is to listen to you and advise you with which loan best fits your needs. Don’t be intimidated by fast talking know-it-alls who have an answer for everything.
Loans are not complex when you understand what the lenders are assessing. The risk to the lender is whether you will pay the loan back and the entire process is to check you out to make sure you can do just that, pay it back. In order to assess risk, documentation from you will be placed together with the application your job/income history, credit and submitted to the lender. Each loan submitted for is different therefore listening to you is the first step in making sure you are getting the right loan. Getting the right loan saves time because the documentation submission may be different depending on which loan you will be applying for.
Step 2: So you found a Loan Officer now what?
Making sure the MLO you hired is licensed is a very important factor in this process. Most major banks employ registered loan officers not licensed loan officers. What’s the difference? Registered loan officers are just that they register through the NMLS (National License Mortgage System) with their employer as the license holder. Normally large national banks are the ones who are allowed to do this rational being that they will be “responsible enough” to train and oversee their employees.
Licensed Mortgage Loan Officers have to take a 20 hour course and pass 2 exams which consist of a federal and state (depending on which states the MLO’s are doing business in). They also have to be sponsored by a licensed company, have fingerprints, background and credit checks. Normally only experienced and knowledgeable MLO’s are willing to go through the time and expense to get licensed. Every year there is continuing education requirements as well as the renewal cost. This is a type loan officer that you are exactly looking for. Loan officers like us who is willing to go the extra mile for you!
Step 3: Ways to better help your MLO and you: Be honest, and keep it simple and straight forward.
The answer is to be upfront and straight forward with the Mortgage Loan Officer. The trust you will build through the process should put you at ease about telling your MLO everything they need to know. Years ago there was a chart about how close you get to people in life. Your husband/wife is number 1, a lawyer/doctor or another family member number is 2 but number 3 is your Real Estate/MLO agent!
Think about it, how many people know everything about your family, finances, home wants and needs? The answer is not many. Should I get this loan, should I tell them this, should I shop with everyone? Honest dealings with your Mortgage Loan Officer will get you to where you want to go faster than not dealing openly.
Part 2: The Loan
What is the most important thing to know when you are getting a mortgage?
The Basics in 4 Steps.
Step 1: What is the most important thing to know when you are getting a mortgage?
We all want that perfect dream home right; so we have to figure out first what is the mortgage we want to obtain that dream home that works for you!
Contacting us via email or by phone is the best way to finding that perfect loan for you whether it’s a niche loan or not. You may also do this by starting our application process online by getting your information to us to see what you qualify for.
A lot of people have no idea what is needed when going to the various banks, mortgage brokers or lenders. “It’s so overwhelming when looking for a mortgage; you just don’t know who to trust” said Jeff Barton President of Malibu Funding Inc. as told by a client of ours.
“Most of our clients come wide eyed and scared, especially when they are first time buyers” Knowing that the clients are relying on us so heavily puts this responsibility on our shoulders as stated by Jeff Barton.
Step 2: Many questions arise when you are looking for a mortgage; but the most important thing to know is how committed you are to getting a mortgage. If you are buying a house, are you really committed to buying? Or are you just shopping?
If you are committed and are willing to do the work necessary to help your professional choose what is best for you and give you the options you need under most conditions you will be able to get that mortgage to qualify for the home that you have wished for.
Once you are committed to buying a home or refinancing one then you will need to have your documentation ready.
Step 3: To get your documents in order: you will need to have these handy.
- Government-issued photo ID: Includes a driver’s license or passport. Often requested in conjunction with a Social Security card.
- Financial information: Income, asset and expense information
- Property information: Estimated purchase price and down payment amount (if buying) or estimated property value and loan amount (if refinancing).
You will also need your credit report but don’t worry we can get that done for you. You can get a free one online but that report usually does not have all three credit reporting bureau’s which is the one we provide but the “Free Credit Report online will get you started in the process but only for the purposes of evaluating credit worthiness.
Step 4: Once your documents are in order: now you are ready to start the process in finding your dream home!
To learn more about the information provided or if you still have questions? Call 1-888-719-7694 so we can assist the best way possible
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