The Homebuying Process
What to expect from application to closing.
Getting a mortgage doesn’t have to be complicated. Here’s a simple, step-by-step overview of what happens along the way — and how to prepare at each stage.
1. Pre-Qualification
Purpose: Understand how much you can borrow.
This is the starting point where your loan officer reviews your income, assets, credit, and financial goals to estimate your buying power.
What to do:
Provide basic financial details such as income and assets.
Review loan options and estimated payments.
Obtain a pre-qualification or pre-approval letter to begin your home search.
2. Loan Application
Purpose: Officially apply for your loan.
Once you’ve selected a property or decided to move forward, you’ll complete a full mortgage application and authorize a credit check.
What to do:
Complete the loan application online or with your loan officer.
Submit documentation such as pay stubs, W-2s, or tax returns.
Review the Loan Estimate outlining rates, terms, and fees.
3. Processing
Purpose: Verify and prepare your file.
The processing team gathers, verifies, and organizes all documents to ensure your loan file is ready for underwriting.
What to expect:
An appraisal is ordered to confirm property value.
Title and insurance work begin.
You may be asked for updated documents or clarifications.
4. Underwriting
Purpose: Review and approve your loan.
An underwriter evaluates your credit, income, assets, and property information to ensure all loan program requirements are met.
What to expect:
Conditional approval may be issued pending final items.
Communication from your loan officer regarding any additional needs.
5. Conditional Approval and Final Documentation
Purpose: Clear remaining conditions to close.
Once conditions are satisfied, your file moves toward final approval.
What to do:
Provide any requested updates (such as bank statements or pay stubs).
Avoid new credit inquiries, large purchases, or job changes before closing.
6. Closing Disclosure Review
Purpose: Confirm your final loan details.
You’ll receive a Closing Disclosure at least three business days before signing. It outlines your final loan terms, costs, and cash needed to close.
What to do:
Review each section carefully.
Ask your loan officer to clarify any questions.
7. Closing Day
Purpose: Finalize your loan and complete your purchase or refinance.
This is when all loan documents are signed, funds are disbursed, and ownership officially transfers.
What to expect:
The signing may occur in person or through a mobile notary.
After signing, your loan funds and, if applicable, you receive your keys.
8. Post-Closing and Servicing
Purpose: Begin repayment and manage your loan.
After closing, your loan may be transferred to a servicing company that manages payments.
What to do:
Set up automatic payments if available.
Keep copies of all closing documents.
Contact your loan officer for future financing or refinancing needs.