When your loan is submitted our goal is to get your loan thru the process as quick as possible. The process contains 5 steps to close and here is what you can expect in each of these process’s. These steps are:
- Loan submission. This is where you work with your Account Executive (AE) to configure a loan program that works for your needs. During the loan submission process your AE will work with you in filling out a lan submission form. This form details general information about your loan so we can see which type of loan program best suites your needs. Once you have agreed on the right type of loan that works for you you should immediately download the document package and start gathering and filling out the loan documents that you will need to submit. Your AE will send you a Conditional Loan Approval (CLA) with the details of your loan. Your CLA will not be issued until your loan scenario is properly vetted and we are confident that based on information that you supply and then the verification of that information including your documentation and 3rd party reports that your loan should close. Once you receive your CLA you will be given some time to review the document with your team and we always suggest having your legal council review any documentation that you would be required to sign and once you have completed the review and you are satisfied with it then you would sign the document and send it back in along with any moneys that would be required at the time of submission.
- Processing. Once your signed CLA and any monetary requirements along with it have been received by our company your loan file will start it’s process by being submitted to our processing department. Sometimes we use in-house processing and sometimes we use 3rd party processing companies depending on our workload. Both models are efficient. In processing you will receive a welcome email detailing the documents that you will need to supply. Also I suggest that you read our post about How To Achieve a Loan Closing in 30 – 45 Days.
- Underwriting: Once your file is finished in processing then your file moves to underwriting where an underwriter will review all of the documents you have supplied and if everything initially seems good the underwriter will then order an Appraisal and an Environmental (EVA) report on your property. We do this in underwriting to save you money incase for some reason we see a possible problem in your loan that could prevent your loan from closing so you would not have to spend money on an Appraisal and EVA if for some reason we think your loan might not close. Once we are ready to order your Appraisal and EVA we will send you an invoice for the amount of each 3rd party report and once the funds are received the 3rd party company will contact you and schedule a time to meet you or your assignee at the property. A rush order is always available if needed and of course the appraisal company does change more for a rush appraisal. We use nationally branded appraisal companies such as CBRE. This is due to a lot of reasons and one reason is that as most of you are familiar with loans are bought and sold on the secondary mortgage markets every day, this does not effect you as a borrower however these “Trades” are standardized and are now more than ever requiring nationally branded 3 rd party report companies to have done the 3rd party reporting in all loan files.
- Funding: Once your loan is reviewed by the underwriter and your documents and reports show that your loan meets guidelines then you loan is moved over to the funding department where capital markets personal work with the funders to set up a closing on your loan.
- Closing: The closing department will work with you and your legal team to coordinate a closing time and place and then your loan closes and funds.