Welcome to Our Home Buyer Center!
If you are looking to buy a home, you’ve come to the right place!
Before we begin…
The usual first step is to schedule a telephone call or face-to-face meeting so that we can get an understanding of your goals and objectives. Click here for easy access to our contact information.
We will then follow up with our custom spreadsheet detailing multiple loan options as well as qualification information.
From there we will start the preapproval or fully approved loan process to get you positioned for a successful offer.
However, if you would like to speed up the process, you can proceed to Step 1 now.
Step 1: Complete Application
A completed application will give us the information we need get started. The interactive application can be completed online or on your mobile device. When you click on the application link, you will select “Buy a Home or Refinance” and then start entering the information. You can start and stop the application as needed but do not walk away from your computer for more than a few minutes without saving your work as it will not be saved.
IMPORTANT REQUEST: PLEASE TRY TO SEND US YOUR DOCUMENTS ALL AT THE SAME TIME. PIECEMEALING DOCUMENTS MAKES IT DIFFICULT FOR US TO TRACK AND IS NOT EFFICIENT. THANK YOU!
Please be sure to complete the entire application and follow directions carefully. Also, please be sure to read through all the following Steps to eliminate surprises and provide for the smoothest loan experience possible. The mortgage business has become highly regulated and detail oriented so its best to be informed and prepared.
Step 2: Pre-Qualification vs. Pre-Approval vs. Fully Underwritten Loan
Where a pre-qualification letter is a ball-park estimate of what you can qualify for based on the information you verbally provide to us, a pre-approval is a written letter from us which we base on the official information and documentation you have provided in your loan application. This is usually the minimum required to write a successful offer to purchase a home. We are very thorough in this process and do not issue pre-approval letters unless we are extremely confident we can deliver a full approval. As such, a pre-approval letter from us is a very valuable asset in presenting a strong offer. However, an even stronger offer is possible when we provide a fully underwritten loan approval. However, fully underwritten loans are not currently available except in special circumstances. This is due to the unprecedented loan volume that is occurring in the industry today. Be sure to discuss this with your loan officer and your Realtor.
Click here for a list of documents we will need for your preapproval:
Please send us the items below. Some of the items requested will not apply to you. You may send these to your contact person at Equitable Mortgage Group via their Secure Transfer link on their email signature or via the mobile or desktop app you used to apply. DO NOT SEND PHOTOS OF DOCUMENTS:
- Last two years’ complete personal tax returns (1040’s). Be sure to include K1’s if you have them.
- Last two years’ W2’s
- One month’s worth of most recent paycheck stubs and if you receive income in addition to your base pay (bonus, commission, etc.), please send your year-end paystubs for the last two years.
- Name and contact number for your HR Department for Verification of Employment (VOE)
- Last two months of complete asset statements – checking, savings, retirement accounts, stocks, bonds – all pages including blank pages.
- IF YOU ARE USING GIFT FUNDS, BE SURE TO HAVE THOSE FUNDS WIRED DIRECTLY TO ESCROW TO ELIMINATE EXCESSIVE PAPER-TRAILING AND OTHER POTENTIAL CHALLENGES. TALK TO YOUR LOAN OFFICER ABOUT THIS FIRST.
- Current mortgage statements, property tax bills and evidence of homeowner’s insurance for all properties owned – including Lease Agreements if you own rental property.
- 12 months of cancelled checks proving on-time rent payments. If you don’t write checks, alternative proof is acceptable. If you have been late with a rent payment in the last 12 months, inform your loan officer immediately as this is treated the same as being late on a mortgage payment and could be a deal killer depending on your circumstances.
- Copy of current lease if you are a renter. If you are not on a month to month lease, please inform us as soon as possible.
- Copy of recorded Divorce Decree or Marital Separation Agreement as applicable.
- Social Security Award Letters and/or pension income documents, as applicable.
- We may need the Terms of Withdrawal from your 401k – proving you may access those funds in the event of a hardship. This is very important if we are using retirement money to meet your “cash reserve” requirements.
- If you are self-employed: Self-employed is defined by having 25% or more ownership in your company and/or any side-businesses: We need a year-to-date Profit and Loss Statement and current Balance Sheet. We will also need a Profit and Loss Statement for the prior year if you have not filed your income taxes with the IRS. We also need your complete business tax returns as applicable.
You may send these to your contact person at Equitable Mortgage Group via their Secure Transfer link on their email signature or via the mobile or desktop app you used to apply.
Step 3: When my offer is accepted
Congratulations! Your offer has been accepted! Here’s what happens immediately after you are “in contract” to buy a home.
Our first task is to prepare your loan for submission. We will send you initial disclosures for your signature. These are rough drafts and will be corrected and/or updated throughout the process – they are non-binding and should be signed first and we will make any corrections along the way. You can expect to sign multiple sets of electronic disclosures, LE’s (Loan Estimates) and CD’s (Closing Disclosures).
You will also need to provide us updated financial information throughout the loan process.
Click here for a list of additional information that may be required:
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- THE most frustrating aspect of the loan process for many of our clients is “documenting large deposits” on their bank statements. Once you are in contract and officially in the loan process, the level of detail required to paper-trail the large deposits and transfers between accounts can be arduous. We strongly recommend you take the time now to discuss with us your down payment source and how and when you plan to move the funds into your “cash to close” account so that we can advise you on how to manage these transactions smoothly to avoid some of the back and forth during the homestretch.
- You will need to get your homeowner’s insurance in place as soon as possible after you are in contract. With the recent fires in California, the insurance game has changed dramatically for many properties. Please provide us with the contact info for your homeowner’s insurance agent so that we can help with this process. If you need a referral, we are happy to provide one. Condo buyers will need an HO6 Policy of “Walls-in” insurance.
- Condo buyers need to understand that the HOA will be charging you anywhere from $100-$500 to provide the required “condo docs” – CC&R’s, Questionnaires etc.
Step 4: Loan Submission and Conditions
Now it’s time for submission of your loan to the lender for approval. They will respond with a list of “conditions” you need to fulfill as you continue on your path towards approval. These requests for “conditions” will continue throughout the loan process until the lender is satisfied that you meet all of their guidelines and government rules.
AGAIN: IF YOU ARE USING GIFT FUNDS, BE SURE TO HAVE THOSE FUNDS WIRED DIRECTLY TO ESCROW TO ELIMINATE EXCESSIVE PAPER-TRAILING AND OTHER POTENTIAL CHALLENGES.
Also, we work with many different investors (lenders) and some of them are credit unions. In the event your loan is with one of our credit unions, you will need to join the credit union and there may be a small application fee and/or annual fee to be a member.
Step 5: Prepare for Closing
Your loan has been submitted and approved, most conditions have been met, and your closing date is near!
A few days before closing, final official loan documents will be drawn and sent to the Title Company for your signature and then back to the lender for funding. At this time you will wire your closing funds to the Title Company or have a cashier’s check prepared – personal checks are not allowed. If you are using an equity line of credit from another property for your cash to close, be sure to have it in a position to wire on-time. Once the lender reviews the final loan documents, they will fund your loan, ask you for remaining items and you will go on record with the County. Once this happens, the keys to your new home are yours!
Click Here for some very important tips on how to avoid common pitfalls at closing.
As Your Closing Date Approaches Be Prepared for the Following:
- Don’t be surprised if you are asked for more documentation up until closing. Be prepared to respond quickly.Let us know if you have any travel plans before closing as this can impede the flow of communication necessary as we approach close.Allow enough time to liquidate stock and/or retirement funds, receive gift funds (AGAIN, IF YOU ARE USING GIFT FUNDS, BE SURE TO HAVE THOSE FUNDS WIRED DIRECTLY TO ESCROW TO ELIMINATE EXCESSIVE PAPER-TRAILING AND OTHER POTENTIAL CHALLENGES) and to wire your own funds to the Title/Escrow company – usually a few days before closing. Personal checks are not accepted. Also, do not change gift amounts and make sure they come from the accounts shown on your gift letters.Make sure all funds to close come from accounts that you have provided to us. Introducing a previously undisclosed account will not be acceptable to the lender and will delay closing.
If you have a spouse or other person on Title who is not on the loan, there will be a number of documents that they need to sign – make sure everyone will be at the signing appointment.
Another credit report may be pulled before your loan funds. As a result, to avoid potential changes to your loan approval status, we advise you don’t use credit cards, buy cars or other large purchases while you are in escrow without checking with us first.
The lender will call your employer THE DAY THE LOAN IS SUPPOSED TO FUND to ensure you have not quit your job or given notice that you are quitting.
Do not schedule the moving company at least until loan docs are at the Title Company. When it is time, we recommend Johnson and Daly Moving – local and nationwide – let them know we (Charlie Christensen – good friend of Tim Johnson the owner) referred you for priority treatment. 415-491-4444
Step 6: Post Closing
Let the mortgage begin! Where do you send your first payment? The closing documents you signed with the Title Rep or Mobile Notary will have a First Payment Letter with instructions on where to send your first payment. The first payment date is also on your Note.
Your loan may be sold to a large bank or other reputable institution and potentially sold a few times. This is normal in the mortgage industry. What that means is that the payee on your mortgage check may change once or more throughout the life of the loan. Rest assured, you will receive a bill every month.
A number of months after you move into your new home, you will also likely receive a supplemental tax bill from the county. The reason for this is that the county has reassessed your property based on its new purchase value which means that you will owe supplemental property taxes based on that value. You must pay this bill to avoid penalties. If you have an impound account, contact your lender to coordinate payment of the supplemental tax bill.
As always, we are here to answer all of your questions and help you with any challenges that may arise. All of our contact information can be found under the Contact Us page on our website.
Finally, please remember that we are also refinance experts, so be sure to come back to us when it’s time to reevaluate your loan based on changing needs. And as always, if you have a family member, friend, co-worker or neighbor who is looking to buy or refinance their mortgages, we would love to help!
