How do I get approved for a home loan? Simply contact a lender or broker. Get answers to your questions up front. If that goes well, start the application process. Otherwise, try a different lender or broker.

So, the loan application is complete. Now What? The lender or broker should run a credit report and automated underwriting (in most cases). Why should I care about automated underwriting? The lending industry often uses this computer software program. It’s purpose is to identify loan programs. Then, see if a borrower qualifies for the loan program. You may qualify for multiple loan options. Such as:

• 30 year fixed rate (Conforming, Conforming High Balance, FHA, VA, Cal HFA, etc.)
• 25 year fixed rate (Conforming, Conforming High Balance, FHA, VA, Cal HFA, etc.)
• 20 year fixed rate (Conforming, Conforming High Balance, FHA, VA, Cal HFA, etc.)
• 15 year flexed rate (Conforming, Conforming High Balance, FHA, VA, Cal HFA, etc.)
• 5/1 Hybrid (fixed for 5 years, then converting to an adjustable for the remaining 25 years. Also (Conforming, Conforming High Balance, FHA, VA, Cal HFA, etc.).

What is the current interest rate for each loan? Are there fees for the loan? What is the monthly payment? This should be provided in writing. If the loan has an adjustable rate feature, you will want details.

• How often the rate could adjust?
• What is the maximum amount the rate could increase during any period?
• What is the projected payment if rates rise?
• Is there a lifetime cap on the interest rate?

If you find one or multiple home loans acceptable, the lender will move forward with some paperwork. These days the paperwork is digital. Your signature will be required on many forms. But, with a digital signature, the process is pretty quick. In addition to signing the loan application package, you will need to furnish some paperwork. The answers provided on the loan application influence the paperwork. For example, if you are an employee, may need to provide paystubs, federal tax returns (1040’s) and w-2. If you are self employed or in a partnership, slightly different paperwork will be necessary. Additional documents often provided will be your liquid assets:

• • Savings Account

• • Checking Account

• • 401K

• • IRA Rollover

• • Mutual Funds

• Stocks/Bonds)

Depending on your loan approval, you may need to provide statements for some or all these types of accounts.

Some loan applications may require additional paperwork.

• • owner of a corporation (corporate tax returns in addition to 1040 tax returns)

• • filed for a tax extension (tax return extension filed receipt plus previous two years filed 1040’s)

• • paid a medical bill that shows as a collection on the credit report (provide receipt)

• • own additional properties that are not showing on the credit report (mortgage note and statement)

• • less than 10 payments remaining on a car loan (proof of contract and payments)

• • deferred student loan payments (proof and duration of deferment)

• a non occupant co signer

In basic terms, this is the process to getting approved for a home loan. I am a licensed broker is California. If you are interested, I will see if we can get you qualified for a home loan.

Call me direct or text me and let’s begin your path towards homeownership in California.

I welcome the opportunity to assist you with a CalHFA, VA, Conventional, Conventional High Balance, Jumbo, Purchase or Refinance Home Loan.

I appreciate the opportunity to discuss your home loan needs.