There are many mortgage professionals involved in helping you obtain a mortgage. So it may be confusing to remember who is who and the role they play in the process. The first thing to know is that each person delivers a specific service but works together with one goal in mind – to help you become a homeowner. Among the first people you’ll meet are your loan officer and real estate professional. Your loan officer will assist you in determining how much you can afford to spend on a mortgage loan. This will help you select the mortgage option that is a best fit for you and your financial situation. The real estate professional helps you find the right home that meets you and your family’s needs. As you progress further into the mortgage process, you’ll meet additional professionals, including a real estate appraiser, home inspector, and closing representative. The following are key members of your home buying team to help you better understand what they do for you:
Loan officers are mortgage specialists; they will use your credit, financial and employment information to see if you qualify for a mortgage and then come up with mortgage financing options that match your financial capacity. There are a variety of different mortgage options available. Fixed-rate mortgages provide a stable option since your interest rate remains the same for the length of your loan. The most common fixed-rate mortgage is a 30-year fixed-rate, although 15-and 20-year fixed-rate mortgages also provide certain advantages.
Your loan officer will also help you complete your mortgage loan application and keep track of what’s happening during the loan approval process. Please be sure to read Section 3, What You Should Know About Your Mortgage Loan Application.
Real Estate Professional
Real estate professionals (REPs) can help you find the kind of home you seek, examine comparable homes and compare different neighborhoods. They often provide specific community information on shopping, schools, property tax rates and more. Most important, REPs can look for homes that meet your needs and financial circumstances, helping you narrow your choices. And when you’re ready to make an offer on a home, the real estate professional will usually handle the negotiations with the seller, including presenting your offer (what you’re willing and able to pay for the property). To find a real estate agent professional, you should ask your family and friends for referrals. You can also find an agent a REP who makes you feel comfortable and can provide the knowledge and services you need. The real estate agent professional is almost always paid by the seller upon the sale of the home.
The loan processor’s job is to prepare your mortgage loan information and application for presentation to the underwriter. The loan processor will ask you for many documents, including documents about your income, your employment, your monthly bills and how much you have in the bank. In addition, the loan processor must make sure that all proper documentation is included, that all numbers are calculated correctly and double checked and that everything is stacked in the proper order. A well-processed loan file can decrease the amount of time it takes for a decision about your mortgage loan application.
The mortgage underwriter is the professional authorized to assess if you are eligible for the mortgage loan you are applying for. The mortgage underwriter will approve or reject your mortgage loan application based on your credit history, employment history, assets, debts and other factors.
Real Estate Appraiser
The real estate appraiser’s job is to look at the property you are purchasing and determine how much it’s worth (or its fair market value). Real estate appraisers determine a home’s value in a number of ways, including comparable home sales. A real estate appraiser is specially qualified through education, training and experience to estimate the value of property.
Hiring a professional home inspector can be one of the most important things you can do to make sure your home is in good condition. An authorized inspector can uncover defects with the house that could cost you a lot of money down the road. For example, if the home inspector finds a serious problem, like a roof that needs to be replaced, you’ll know upfront and can negotiate with the seller for the cost of the roof repair or replacement. If you don’t find out that sort of thing until after you own the house, the problems (and costs) are yours alone. Your real estate professional can be a good reference for a home inspector.
Closing, also called “settlement,” is the final step in buying your home. A representative of the closing company oversees and coordinates the closing, records the closing documents and disperses money to the appropriate individuals and organizations. Closing meetings are a standard part of the home-buying process.
Mortgage Lender and Servicer
The mortgage lender is the financial institution that provides funds for your mortgage. A mortgage servicer is the financial institution or entity that is responsible for collecting your ongoing mortgage payments. If you have difficulty paying your mortgage on time after you become a homeowner, be sure to contact your mortgage servicer who can provide you with a variety of options to help you stay in or sell your home. Your mortgage servicer may be the same as your lender, or may be a different company depending on who your lender is or how they manage your mortgage going forward. It is not uncommon for your lender to transfer the servicing of your mortgage to a different company after you close on your home.
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7047 E Greenway Pkwy
Scottsdale, AZ 85254
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