While securing a loan can seem overwhelming, there are a few things you CAN DO – and few things you can AVOID DOING – to make the loan process even easier.
Loan Process Overview
THIS not THAT
DO
Inform your lender if any information changes. This can include changes of address, job, salary or anything financial.
Keep records of all bank transaction, especially if you transfer large amounts from one account to another.
Get homeowners insurance with coverage equal to the mortgage amount or replacement value of your home.
Get a property inspection to ensure you know the condition of the home you are purchasing.
Protect your credit scores. You’ll want to stay on top of any little change that may impact your loan.
Talk to your mortgage consultants if you have any concerns or questions.
Make sure your driver’s license is up-to-date. Make sure your renewal is complete before your closing date, or it may cause delays.
File your taxes on time with the IRS. Just because you provided a tax return doesn’t mean you have filed with the IRS.
DON’T
Make any significant purchases during the mortgage process. It could negatively affect your debt-to-income ratio.
Consolidate credit cards, max out limits or get new lines of credit. This can negatively affect your debt-to-income ratio and credit score.
Pay off collections. This can actually cause your credit score to drop (strange, we know.)
Change jobs if possible. It’s usually more desirable to show a two-year work history and a new job could affect that.
Cosign for another borrower. This will show up as additional debt, and could affect your credit.
Change your overall asset picture such as changing investments, opening/closing accounts, or making unexplained large deposits.
Change your marital status or name. All documentation must have the same name as your social security card.
Don’t leave the country during your loan approval process. Being unreachable makes it difficult to get docs and signatures.
Your Referral Will Receive
$300 OFF
Their Closing Costs
Terms and Conditions Apply. Ask your First
Class Mortgage Consultant for more details!
Peace Of Mind Guarantee
Looking to purchase a new home this year? Make your offer stand out in a competitive purchase market! With the Preapproval + Peace of Mind Guarantee, the seller will take your offer seriously because if we don’t close according to the terms of the Peace of Mind Guarantee, we’ll pay them.
First Class Mortgage V, Inc. guarantees to close a mortage loan for it’s borrower based on conditions of preapproval letter OR will pay the seller $10,000.
Company NMLS # 322842, Equal Housing Lender. This Guarantee is not valid if borrower or seller fail to execute a purchase agreement or close on a mortage loan for reasons beyond our control. This Guarantee s validity is subject to all the conditions in our attached preapproval letter and any later issued lock-in agreement. This Guarantee may be limited to a geographic area described in or with the Borrowers application and will be invalid if the investor guidelines for this type of loan change prior to closing. This offer is valid subject to no changes to applicant s qualifying information. Should underwriting findings change from DU/LP findings run on or before issue date this guarantee is void. This is not a guarantee of loan approval or commitment to lend. Program rates, terms and conditions are subject to change at any time. First Class Mortage is not acting on behalf of or at the direction of HUD/FHA, the federal government, or any federal government agency.
Check out what your monthly payment could be by using our general Mortgage Repayment Calculator…
Our mortgage calculators are for demonstration purposes only and may not reflect actual numbers for your specific mortgage. Contact us and we will walk you through the best possible mortgage scenario for your specific needs!
Principal & Interest (P&I)
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PMI
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Taxes & HOA
$
Homeowners Insurance
$
Purchase Price
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Down Payment
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Total Loan Amount
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PMI
The PMI (Private Mortgage Insurance) is a mortgage lenders' protection in the event of a default. PMI is paid monthly as part of your mortgage payment to the lender. Once a borrower has paid the equivalent of the 20% down payment, PMI can be removed from the monthly mortgage payment.
Estimated Payment
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Loan amount
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Down payment
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Interest rate
Loan term
Taxes & insurance included?
Property tax
Homeowner's insurance
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Mortgage insurance
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HOA dues
$
Payment Breakdown
Amortization
Principal vs. Interest
Amortization Schedule Breakdown
Our detailed amortization schedule breaks down your mortgage payments, showing how they are split between interest and principal over the life of your loan.
Note: The actual monthly payment may be higher than what is shown here, as this schedule does not account for variable costs such as property taxes and home insurance, which are often included in your total mortgage payment.
- Principal payments: $$240,000 (the amount borrowed)
- Interest payments: $$297,554 (the cost of borrowing)
