Loan Process Overview
What happens when you apply for your mortgage?
Applying for your loan is the first step in the mortgage financing process. This starts with completing a mortgage loan application with your Loan Officer. You can apply in a variety of ways: apply on-line now, safely and securely, or in person or by telephone.
Your Loan Officer will collect information on income, credit and assets which will help determine the type and amount of loan that best meets your needs.
Your Loan Officer will review the following disclosure with you:
- Loan Estimate: an estimate of all the fees and charges associated with getting your mortgage and the proposed terms of the mortgage along with the Annual Percentage Rate (APR) as required by Federal law.
Processing and Underwriting
Wisconsin Mortgage Corporation uses automated underwriting systems. An underwriter will review the automated underwriting feedback, your submitted documentation on income and assets, your credit report along with an appraisal of the property. The underwriter will issue an approval called “a conditional commitment” because they may ask for additional documentation to support the information on your application.
Some common terms used by our underwriters include: LTV, ratios, reserves and PITI. Our glossary can help you better understand all of these terms.
Closing Your Loan
Closing your loan is the final step in getting your mortgage. Closing is more than just money changing hands; it is where you will sign all your final loan documents, including the Mortgage and Note. In Wisconsin, the closing agent is a usually a title company (Typically, this is the same company that did the title search and issued title insurance) or the closing agent may be an attorney.
- Your “cash to close” will include your down payment and all other closing costs.
- The closing agent will pay the sellers’ mortgage lender the remaining balance, any fees and then disburse the remaining amount to the Seller.
There may be a three business day waiting period, or “right of rescission” before funds are released.