Loan Process

Gone are the days when loan buying made people frown. With WGB Loans, you can secure a home mortgage in just a few simple steps. We believe in making the home loan process faster, easier and better. Read on the easy steps for the loan buying process.

1. Pre-Qualification

This sets the beginning of the loan process. WGB Loans first gathers the borrower’s income and debt information. Next, two factors are tested to qualify for the loan. The first one is the borrower’s ability to pay. This gets verified by the borrower’s total income and current employment. Now, the borrower’s willingness to pay the loan is taken into consideration. This aspect is closely related to the borrower’s credit report.

2. Mortgage Programs And Rates

After the pre-qualification, the borrower chooses the best loans  available. He looks at aspects of the loan like, terms and payments and makes a decision that fits the borrowers specific needs. Then we help you shop for the right loan program.

3. The Application Process

Now that the borrower has decided his path, it’s time for the application. The application takes place within the first five working days. This process is done with the assistance of our WGB Loans professionals.

4. The Loan Estimate

Once you have successfully completed the application process, it’s time for the loan estimate. The loan estimate is a three-page form the borrower gets after the application of the mortgage. This three-pages of the form consists of essential details about the loan rate and term and the fees. WGB Loans delivers the loan estimate within three working days after the loan application is completed. The loan estimate carries information like estimated interest rates, total costing costs for the loan, monthly payments, and more.

5. Intent to Proceed

After going through the loan estimate, it is up to you whether you want to proceed with the loan or not. Here you indicate within the documents your intent to proceed. There is no financial commitment or advanced fees to the borrower at this time. Your financial commitment in obtaining a loan only involves getting an appraisal and the cost of the credit reports. 

6. Processing

Once the full application has been submitted, the processing of the loan kickstarts. The processor orders the Title Report, Appraisal, and Credit Report. Bank deposits and payment histories are verified in this stage.

7. Income Documentation

Income documentation of either pay stubs, W-2’s and/or tax returns are submitted and verified. WGB Loans will assist the lender’s request for any necessary documents from the borrower to proceed with the loan process.

8. Appraisal Basics

This step involves the valuation of ownership rights and estimated market value. The appraiser makes use of three market approaches, using the  Cost approach, the Comparative Market Analysis approach, and Income approach, after which the appraiser derives the estimate of the value of the subject property.

9. Underwriting

After the processor has successfully combined everything and created a complete package with all necessary documentation and verifications, the underwriter determines if the package is deemed an acceptable mortgage. In case the information is incomplete or more data is required, the loan is put under “suspense.” No worries! In this case, the borrower is simply contacted to provide all the missing information. Once the loan becomes acceptable as submitted, the loan gets transferred to the ‘approved” status.

10. Closing Disclosure

The closing disclosure is a five-page form that lists all the final details about the loan. The form includes the loan terms, monthly payments, and all the closing costs.

11. Closing

After the loan gets approved, the file gets transported to the closing and funding department. The funding department is responsible for notifying the Settlement Agent (Escrow Officer)  about the loan approval and verifying brokerage and closing fees. Now, the Settlement Agent schedules a fixed time on which the borrower has to sign the loan documentation. The loan is funded.

Do you want to make the complete loan process simpler? Call or email our WGB Loans today, and we will help you get that dream home with the most beneficial financing .