You filled in a home purchase form a while ago, and you receive a call from your realtor with the good news that your offer has gone through. But there is a problem: you are not sure what your next move should be.
Being through the tough road of looking for a home and convincing the seller to sell it to you is not an easy journey. However, that should not be the end of you. Below is a sneak peek of what you should do to enjoy the best mortgage rate here in Salt Lake City.
Onset of Teamwork
Unlike the previous steps in looking for a home where you handled all the work by yourself, the next step of your journey is pure teamwork. First, you will need to pay a deposit of a certain amount. An escrow officer will come to collect your deposit and put it in an escrow account until the property transaction closes.
Your lender also liaises with the escrow officer concerning your details during this phase of your loan application.
The Mortgage Application Process
You need to gather your required documents and prepare a file for underwriting. The main reason for getting your things in order is to prepare a loan package before it is time for a review from the underwriter. You will then need to choose a loan program that befits you and lock the interest rate.
After the locking of the interest rate, you will then order the appraisal and give out the loan disclosures.
Closing the Deal
Getting things ready beforehand avoids surprises when it is time to close the loan application process. Also, you may need to draft letters of explanations for the sake of the underwriter.
The letters of explanations include a new credit card, details of a raise, and may require a deposit of a lump sum amount of money.
It is important to note that time is a critical factor when doing a loan application process. The faster you make the loan application, the quicker you will get your funding and move into your new home, and you can be sure of getting the best mortgage rate in Salt Lake City.