Spring has sprung and the clock has been moved forward.
Trees are beginning to regrow their leaves and flowers are sprouting new blooms. The weather is warm enough for a walk on the beach or a nice hike through downtown. It is a time of growth and development both financially and spiritually. This time of year encourages us to get outside to do yard work and take care of small projects around the house. We take inventory of what we want and it is the time when we start looking for a new home; the children get out of school and get settled before school starts back. It is exciting to think about but a little scary to start the process, especially the financing part of the equation. What is involved and how do we handle this process? Here is a guide to help prepare for the Real Estate Process;
1. Preapproval: Preapproval requires primary documents such as last 2 months of bank statements and only 2 months, picture identification of all adults, verification of all income for the past month such as check stubs, disability, child support, last 2 years of tax returns and verification of all expenses such as car payments, credit cards, and other loans.
2. Find a Home: Assess your wants and needs, find a Realtor and let them help find the perfect home that fits your lifestyle.
3. Application Process: Submit updated documents from preapproval prior to contact with Real Estate Attorney.
4. Appraisal Order: Order an appraisal within the first week from the date of signed contract and after the inspection is completed.
5. Appraisal Report: Appraisal report arrives at the processor and they update outstanding items needed for approval.
6. Underwriting: File is submitted to Underwriting Department for review and commitment letter issued and sent to your attorney.
7. Commitment: All outstanding closing conditions are submitted for the Final Clearance.
8. Title Report: Your Attorney submits the title report to the Banks Attorney for review and clearance.
9. Home Insurance Policy: Copy of approval and mortgage clause provided to secure a Homeowners Insurance Policy.
10. Clear to Close: You and your Attorney will be notified that your file is clear to close and a closing date is scheduled.
11. Closing: You have run the Race and are at the finish line. All parties sign the closing documents with the Attorney.
CONGRATULATION YOU ARE A HOMEOWNER!!!