Tag: Mortgage Crisis

Credit and Mortgage

THE 6 STEPS TO MORTGAGE LOAN APPROVAL PROCESS

INTRODUCTION

Though the process may differ from one borrower to the other, the general steps outlined here will go a great deal in assisting you make informed decisions about how the mortgage loan approval process is, especially for first-timers. It is important that the lender has a loan officer training from a loan officer school to ensure smoothness of the whole process.

 

PRE-APPROVING THE MORTGAGE

This basically involves the lender checking your financial status particularly your income, assets and debts. This gives a general overview on if you are the ideal candidate for a loan based on the assessment of the lender. It is a very important step because it saves time, energy and resources by narrowing the search to houses you can afford. At this stage, the lender also makes it clear how much he is willing to lend you and he includes all this information in a pre-approval letter he hands you. He works most efficiently if he has undergone the mortgage loan officer training.

 

HUNTING FOR THE HOUSE AND PURCHASE AGREEMENT

This is where you and your real estate agent get to work hard. You have got the price limit, you can now comfortably search for houses within that range. A very important thing to know here is, it is impossible to find all what you need in a single house. But you can find most. Be flexible. At this step of the process, the lender is basically out of it. However, once the desired house has been found, and an offer made and accepted by the seller called the purchase agreement, he steps right into the picture and this takes us to filling for a mortgage loan.

 

APPLICATION FOR MORTGAGE LOAN

Here, there is a standardized form mortgage lender use. You have gotten a pre-approval, you have hunted for a house, gotten one and the seller has accepted your offer. Next is to fill the standardized form called the Uniform Residential Loan Application (URLA) otherwise known as the Fannie Mae form 1003. This asks for information about you, the type of property you are asking for and the amount of loan you are asking for. A mortgage license is very important for protecting you.

 

PROCESSING OF MORTGAGE

Here, all the information provided during application and their supporting documents are reviewed. It prepares you for the next step by making sure information provided in the application is correct and is duly supported by genuine documents. These documents include bank statements, tax records, employment letters, the purchase agreement, and many more, depending on the loan processor, you, and the property you are filling in for. Learn more.

 

UNDERWRITING OF MORTGAGE

At this stage, it is made sure that all the presented documents meet the requirements and guidelines of lending. This is the most important part of the process because the loan is accepted or rejected at this stage. The underwriter double-checks the property seller, the property itself and the borrower. He assesses the risk. Whether from all provided information, you will be able to pay the loan following the 3 Cs: capacity, credit and collateral.

 

APPROVAL AND CLOSING OF MORTGAGE LOAN       

This could be full approval or a conditional one in which a set of rules are given by the underwriter following some issues he noticed during the underwriting process that are not bad enough to warrant a rejection. However, the conditions must be met for the deal to be closed. This is the final step. Companies are selected to handle the closing and all supporting documents are sent to them for signing. Tada!

CONCLUSION

The approval process for a mortgage loan is a very interesting one, though it could be really daunting. With the above breakdown, you are in the skies of knowledge! For more information visit: https://caloanoff.capeschool.com/mlo/

Credit and Mortgage

How Can I Become a Mortgage Loan Officer?

mortgage loan

Have you ever thought about becoming a mortgage loan officer? It’s not as complicated as it sounds! Let’s discuss what exactly a mortgage loan officer is, how you can become one and what to expect in regards to job requirements and salary potential once you are ready to work.

What is a mortgage loan officer?

Mortgage loan officers are usually banking professionals that specialize in helping borrowers secure loans to either finance or refinance the mortgage on their home or business. A mortgage loan officer will meet with the prospective borrower, usually at a bank or their office, help evaluate their finances and borrowing potential. The way the the mortgage loan officer evaluates this is by running a credit score and report, their current and future income, employment status and general financial status. The purpose of all this is to make sure that the borrower is and will hopefully continue to be able to pay back any potential mortgage loan. Based on the information obtained, the mortgage loan officer will come up with an offer (in most, reasonable cases) that the borrower can decide whether or not to take.

What is required to become a mortgage loan officer?

To become a mortgage loan officer, you must have a minimum of a high school diploma. However, to have a real chance, you should have a bachelor’s degree (preferably in a field like economics or finance). Once hired, you’ll receive on the job training and well eventually be required to be licensed. This license requires about twenty hours of coursework and passing a written exam and background check. To stay up to date with your license, you’ll have to keep up with continuing education (or CE’s). You also can’t have any felonies and maintain your mortgage loan officer license.

What should I expect once I’m a mortgage loan officer?

The average salary for a mortgage loans officer is between $45,000 and $65,000 a year. The amount you’ll get paid depends on where you work and what the financial climate is, as obviously the housing market significantly affects how many mortgage loans officers are needed. As long as you are staying on top of your continuing education so that your license stays current, you should be able to keep your standing and not have to go back through mortgage loans officer training. After you’ve worked in the industry for awhile, you could also go on to own your own office and manage a team of mortgage loan officers. Most of the time, clients come to you but you should also be prepared to market yourself as well.

If you’re trying to figure out the right career for you and are looking into completing mortgage loans officer training, it’s good to know a little more about what all that entails and what you can expect after you complete it. Although it may vary with the economy, getting your mortgage loans officer license can be a great help in finding a future career in the industry!

Visit for detail: http://www.loanofficerlicense.net

Credit and Mortgage

Mortgage – 4 Signs of a Good Loan Officer

Loan Officer

A lot of people seeking business advice are hoping to find the perfect niche to ply their trade and make up a fortune. It makes sense. But I would venture to convey that a majority of businesses can make a lot of cash… now I hear you asking, “How do they make that cash?” It is probably not so much a matter of the product, the help of a loan officer, or perhaps even the market, although these play a big influence.

Even more than having the perfect product or market, business entrepreneurs seeking small business advice need to find the right methods and procedures to ensure their business succeeds.

Unfortunately, we’ve got grown to enjoy this niche for one reason and something reason only. M.O.N.E.Y. What else are we able to do and possess the freedom that we’ve enjoyed? What else are we able to do and make this kind of money? Before the Mortgage Crisis, My Joke was “I wonder how much cash I could make if I actually worked 6 hours a day”?

Now that the crisis remains to be here, it’s more about what kind of money can I make period… I’ll work 10 hours each day if I can only make half the amount of money we had been making before. It’s a sad state for those true mortgage professionals and loan officers around.

As a highly-experienced loan officer, I have dealt with many clients throughout Ohio, from Cincinnati to Columbus to Cleveland, the other thing I see frequently is that a lot of people have no idea what their credit history contains. Maybe an incorrect collection, or possibly a misreporting 30-day late with a charge card, or worse yet a judgment. Many credit issues might be resolved easily before ever trying to get a home loan. Thus, setting yourself up to get the best possible mortgage when the time comes.checkout more information at http://www.stjamesnews.com/news/20170125/wells-federal-bank-welcomes-new-loan-officer

When involved in a negotiation one of the worst strategies a person can have is negotiating from the position of weakness. Banks will have you believe that to acquire a loan from their website you must meet their very strict conditions. Don’t believe it.

The best thing a small company owner can do is explore all of their options. Do the research. Try to find the best offer open to you, if you do not possess time for you to perform the research there are numerous websites which will undertake it for you.

As long as you’re thorough and prudent you shouldn’t have happen what actually transpired for the person in the example at the beginning of this article.view this website http://www.loanofficerlicense.net

Loan OfficerThe process took for a week when suddenly the money officer went silent. My client called him and emailed him many times over a few days. I got involved and called and emailed, trying to determine what was going on. When I finally got him the officer rudely informed me they cannot do the money as a result of derogatory on my small client’s credit.

I asked for a lot of explanation and was told he wasn’t sure while he couldn’t understand the credit file and we must lose time waiting for it – in the future straight from the lender. My client was shocked as they knew of nothing on his credit that will negatively affect his loan. My client called and emailed and ultimately got a similar answer. If you have a similar story and need help, why not contact a loan officer today?…