We would like to take this opportunity to thank you for choosing Pacific Residential Mortgage (PRM) to help assist you in the financing of your home. At PRM, we are committed to helping you through the entire mortgage process.
In order to simplify and get a head start on the loan application process, please gather and return the following items from the home buying checklist at your earliest convenience.
- Most current paystubs covering the last 30 day period
- Last 2 years’ W-2s or 1099’s
- Last 2 years’ federal tax returns (personal and corporate, if applicable); all pages, all schedules. Please sign page 2 of the return
- Most recent statements for all assets (bank, brokerage, mutual funds, retirement accounts such as IRAs/401ks etc.). Please include all pages, even if blank
- Legible copy of your driver’s license, both front and back
- Name and phone number of your homeowner’s insurance agent
- Copy of your last mortgage loan statement
Once all of these items are received, we can move forward together with your loan application. Here is a helpful 8 step loan timeline for how the loan process works.
Step #1 – Apply for a Loan: We thoroughly review your financial profile which includes your assets, income, credit and property type. We will discuss financing options and determine the loan best suited for your situation.
Step #2 – Pre-Approval: Once we have received all supporting documentation and your application is complete, your credit file will be assessed for pre-approval.
Step #3 – Property Review: After we receive a fully executed purchase and sale agreement, an escrow account will be opened and a title report requested. Once all inspection/repair contingencies have been satisfied, we will order an appraisal and a homeowner’s insurance binder.
Step #4 – Credit Decision: Your property documentation, along with any other outstanding conditions, will be sent to underwriting for final decision. Additional documentation may be requested at this time.
Step #5 – Loan Documents: Once all conditions are received and cleared by the underwriter, your loan documents will be prepared and delivered to the title company.
Step #6 – Signing: The escrow officer will receive your loan documentation/instructions from the lender and then prepare them for signing; please allow up to 48 hours for preparation. The escrow officer will then contact you for a time to sign.
Step #7 – Funding: The signed documents will be returned to the lender for review. Funds will be released to the title company for disbursement once all terms have been met. Funds will be used to pay items identified on the Closing Disclosure as approved by all parties in the transaction.
Step #8 – Recording: When all funds have been received and disbursed, the title company will record your new lien at the county. CONGRATULATIONS!
During your loan, it’s important to remember a few helpful hints:
Save and Provide:
- Most current pay stubs, last 2 years federal tax returns (all pages, all schedules), W-2’s/1099’s and other income documentation
- If applicable, a complete and final copy of divorce decree
- Identify current debt including: creditor’s name, monthly payment and balance
- Information on any (current/pending) derogatory credit, judgments or liens
- Most recent asset statements including: bank, brokerage, mutual funds, and retirement accounts
- 60 days’ seasoned liquid assets for funds to close
- Gift fund documentation including: proof of donor’s ability to gift, gift letter, copy of gift check and proof of gift deposit
Before or During the Loan Process:
- Quit or change jobs
- Increase current credit balances
- Open or apply for any new credit accounts
- Dispute any items on your credit report
- Forget to make your payments on time
- Transfer or deposit large sums of money
- Perform any unpermitted remodeling
- Make an offer on a home without being pre-approved by PRM
With PRM as your advocate and trusted advisor, you can expect a superior level of knowledge, experience, exceptional customer service, and your home financing goals to be achieved.