Yes. It's always a good idea to know the amount of financing you qualify for before you begin shopping for a home. Additionally, having a lender pre-approval in hand will strengthen your offer in the eyes of the seller. Our pre-approval will help you determine the monthly payment you can afford and the amount of cash required to close the transaction. We require a complete loan application and all the supporting documentation in order to provide a Pre-Approval Letter.
An Appraisal Fee is collected at the time you lock in your interest rate or request an appraisal be ordered. The funds are maintained in a trust account and used to pay for your appraisal -- a service performed by an independent third party. You are entitled to a copy of your appraisal. We will send you a copy via email or regular mail upon receipt from the appraiser. The cost of the appraisal may range from $400 - $650, depending on the type of property and where it is located.
You will generally be asked to support your income with recent paystubs and the prior two year's W-2 Forms and tax returns. Funds needed to close the transaction are supported with a copy of a recent bank statement. If proceeds from the sale of another property are being used for the down payment, an estimated closing statement on that transaction will be required to support the necessary funds to close. To view a list of required supporting documentation, please click here. Some transactions may require additional documentation.
Our normal processing time is approximately four weeks. We can close a loan faster if necessary.
Our quality control procedures prohibit us from using any appraisal not ordered directly by us from one of our preferred appraisers in your area. Our appraisers prioritize our work and will complete the assignment quickly.
Upon receipt of your loan application, a Loan Processor is immediately assigned to your loan. The day your application is received, you will be called or emailed with the name of your Loan Processor who will be your primary contact throughout the loan process.
On purchase transactions, we require a completed loan application and you must have an accepted offer on a property before you can lock a rate.
On refinance transactions, we require a completed loan application and supporting documentation before you can lock in a rate.
To lock your rate, you must call your loan officer.
In times of stable interest rates, most of our members lock between 15 and 30 days before their scheduled close of escrow. Locking for a period longer than 30 days increases the cost of the loan slightly but is sometimes a good idea if rates are volatile. For a 45 day lock there is a .125 point add-on to the points and for a 60 day lock there is .25 point add-on to the points.
If the savings you will achieve with the new lower rate will recapture the closing costs of the loan in a relatively short period of time, you should probably go ahead and lock your rate and close your loan. Trying to time the bottom of an interest rate cycle is tricky and each month you delay costs you in the form of carrying a higher interest rate on your old loan. If rates fall further, you can always refinance again. Our Refinance Savings Calculator will help you with this decision.
You will receive the rate and point combination from the day you locked in or the day you switched programs, which ever is higher. Therefore, it is important that you carefully consider the different programs before locking in a program and interest rate.
If the delay is caused by us or a third party service provider selected by us, we will extend the lock at no cost. However, if you cause the delay, you will be required to pay for the cost of the lock extension. Examples of delays caused by you are incomplete information submitted on your application, requesting subordination of an existing second mortgage, not supplying supporting documentation in a timely manner, delaying appraisal inspections or document signing appointments or other actions that delay the timely processing and funding of your loan. In the event the lock extension must be paid for by you, a 7-Day Lock Extension may be purchased before the original lock expiration date by adding .125 to your points. Additional lock extensions require that the loan be re-priced at the worse-case scenario between the rate you originally locked into and current rates.
On all purchase transactions and on rental property refinance transactions, we can typically close within three days (one day to review the docs, one day to fund the loan, and one day for the loan to record). On primary residence and second home refinances, there is also a three-day rescission period that must pass before your loan can fund.
Escrow will issue a check and mail it to you. You can also arrange for escrow to wire the proceeds directly into your bank account.
After your loan closes, your loan will either be booked at the Credit Union or it will be sold on the secondary market to a major mortgage investor who will assume the responsibility for servicing the loan. We retain and sell our loans, depending on the Credit Union's portfolio limits, to some of the largest mortgage investors in the country. If your loan is sold, we are confident that your loan will be properly serviced by our mortgage investors.
On a Single Family Residence or PUD, there must be a minimum of 60 days of coverage remaining on your policy at the time of funding. On a condo, your associations Home Owners Insurance policy must be current and you will also need to have an HO6 Policy which covers the interior of the unit if your associations policy does not cover it.
Our streamlined system is designed to value your home in the most efficient manner possible. Your loan application will be run through an automated underwriting system to determine the type of appraisal required. Depending on the characteristics of your loan, the appraiser may not need to inspect the interior of the property, saving you the inconvenience of having to be available for an appointment. The appraiser may also be able to prepare a report agreeing with your estimated value rather than arriving at his/her own value. This technology allows us to close your loan more quickly and conveniently.
To comply with the USA Patriot Act, we must implement certain customer identification programs to verify each applicant's name, address, date of birth and identification number. We may request a copy of a social security card on all applicants who will be on the loan but who are not currently employed (for employed borrowers we can generally obtain the social security number off paystubs or W-2s so it is not necessary to obtain a copy of their social security card). In addition, depending on your situation, we may also request additional documents to help us verify your identity.
By law, you have the right to select your own provider for these services. Certain providers used regularly by us on refinance transactions offer very competitive fees, as shown on our website. If you wish to use a different provider and agree to pay the fee charged by them, please advise your Loan Processor and we will be happy to work with them.