An appraisal report will be provided once it has been reviewed by Michigan State University Federal Credit Union to make sure it meets the loan needs and our guidelines.
An appraisal is required to determine the value of the property you are purchasing or refinancing. An appraisal report is a written description and estimate of the value of the property. National standards govern the format for the appraisal and the appraiser's qualifications and credentials. In addition, most states now have licensing requirements for appraisers evaluating properties located within their states.
The appraiser will create a written report for us and you'll be given a copy at your loan closing. If you'd like to review it earlier, your Mortgage Officer would be happy to provide it to you.
Usually the appraiser will inspect both the interior and exterior of the home. In some cases, based on your financial profile and the location of the home, only an exterior inspection will be necessary. Exterior-only inspections usually save time and money, but if you're purchasing a new home, your Mortgage Officer will contact you to determine if you'd be more comfortable with a full inspection.
After the appraiser inspects the property, they will compare the qualities of your home with other homes that have sold recently in the same neighborhood. These homes are called "comparables" and play a significant role in the appraisal process. Using industry guidelines, the appraiser will weigh the major components of these properties (e.g., design, square footage, number of rooms, lot size, age) in comparison to the components of your home to come up with an estimated value of your home. The appraiser adjusts the price of each comparable sale (up or down) depending on how it compares (better or worse) with your property.
As an additional check on the value of the property, the appraiser also estimates the replacement cost for the property. Replacement cost is determined by valuing an empty lot and estimating the cost to build a house of similar size and construction. Finally, the appraiser reduces this cost by an age factor to compensate for depreciation and deterioration.
If your home is for investment purposes, or is a multi-unit home, the appraiser will also consider the rental income that will be generated by the property to help determine the value.
Using these three different methods, the appraiser assigns a final appraised value. The comparable sales approach is the most important valuation method because a property is worth only what a buyer is willing to pay and a seller is willing to accept. It is not uncommon for the appraised value of a property to be exactly the same as the amount stated on your sales contract. This is not a coincidence, nor does it question the competence of the appraiser. Your purchase contract is the most valid sales transaction there is. It represents what a buyer is willing to offer for the property and what the seller is willing to accept. Only when the comparable sales differ greatly from your sales contract will the appraised value be very different.
In addition to verifying that your home's value supports your loan request, we'll also verify that your home is as marketable as others in the area. We'll want to be confident that if you decide to sell your home, it will be as easy to market as other homes in the area.
We'll also make sure that the value of your home is in the same range as other homes in the area. If the value of your home is substantially more than other homes in the neighborhood, it could affect the market acceptance of the home if you decide to sell. We'll also review the market statistics about your neighborhood. We'll look at the time on the market for homes that have sold recently and verify that values are steady or increasing.
Since the value and marketability of condominium properties is dependent on items that don't apply to single-family homes, there are a few extra steps to determine if your condominium meets our guidelines.
One of the most important factors is determining if the project that the condominium is located in is complete. In many cases, it will be necessary for the project, or at least the phase where your unit is located, to be complete before we can provide financing. Until the project is complete, we can't be certain that the remaining units will be of the same quality as the existing units. This could affect the marketability of your home.
The ratio of non-owner occupied units to owner-occupied units is also considered. This could also affect future marketability because many people prefer to live in a project that is occupied by owners rather than renters.
Depending on the percentage of the property's value you'd like to finance, other items may also need to be reviewed.
Both a home inspection and an appraisal are designed to protect you against potential issues with your new home. Although they have different purposes, it makes the most sense to use both to help confirm that you've found the perfect home.
The appraiser will make note of obvious construction problems such as termite damage, dry rot, or leaking roofs or basements. Other obvious interior or exterior damage that could affect the salability of the property will also be reported. However, appraisers are not construction experts and may not find everything. They won't turn on every light switch, run every faucet, or inspect the attic or mechanicals.
That's where the home inspector comes in. They perform a more detailed inspection and can educate you about possible concerns about the home when you accompany the inspector during the inspection. This is your opportunity to learn about major systems, appliances, and fixtures; learn maintenance schedules and tips; and ask questions about the condition of the home.
Federal law requires all lenders to investigate whether or not each home they finance is in a special flood hazard area as defined by the Federal Emergency Management Agency (FEMA). The Flood Disaster Protection Act of 1973 and the National Flood Insurance Reform Act of 1994 help to ensure that you will be protected from any financial losses caused by flooding.
We use a third-party company which specializes in reviewing FEMA flood maps to determine if your home is located in a flood area. If so, flood insurance coverage will be required, since standard homeowner's insurance doesn't protect you against damages from flooding
Licensed appraisers, familiar with home values in your area, perform appraisals. We order the appraisal as soon as we receive your intent to proceed. Generally, it takes 10-14 days to receive the written report. If you are refinancing and an interior inspection of the home is necessary, the appraiser will contact you to schedule a viewing appointment.
If you are purchasing a new home, the appraiser will contact the real estate agent or the seller to schedule an appointment to view the home.
We define manufactured housing as housing units that are factory built with a steel undercarriage that remains as a structural component and limits the structure to a single story. These types of manufactured homes are sometimes known as mobile homes.
We do not consider other factory-built housing (not built on a permanent chassis), such as modular, prefabricated, panelized, or sectional housing, to be manufactured housing. If your home is one of these types, please complete the application indicating that your home is a single family home.
Interest rates fluctuate based on a variety of factors, including inflation, the pace of economic growth, and Federal Reserve policy. Over time, inflation has the largest influence on the level of interest rates. A modest rate of inflation will almost always lead to low interest rates, while concerns about rising inflation normally cause interest rates to increase. The Federal Reserve implements policies designed to keep inflation and interest rates relatively low and stable.
An adjustable-rate mortgage (ARM), is a home loan type offering a lower initial interest rate than most fixed-rate loans. The trade-off is that the interest rate may change periodically, and the monthly payment will go up or down accordingly.
An ARM might be the right mortgage choice for you, particularly if your income is likely to increase in the future, if you are able to make extra payments in the first few years, or if you only plan on being in the home for three to five years.
With most ARMs, the interest rate and monthly payment are fixed for an initial time period. After the initial fixed period, the interest rate can change every year. For example, one of our most popular adjustable-rate mortgages is a five-year ARM. The interest rate will not change for the first five years (the initial adjustment period) but can change every year after the first five years.
Our ARM interest rate changes are tied to changes in an index rate, meaning that annual rate adjustments are based on market conditions at the time of the adjustment. If the index rate moves up, so does your mortgage interest rate, and you will probably have to make a higher monthly payment. On the other hand, if the index rate goes down, your monthly payment may decrease.
To determine the interest rate on an ARM, a predisclosed amount called the “margin” is added to the index. If you're still shopping, comparing margins from lender to lender may be more important than comparing the initial interest rate, because it will be used to calculate the interest rate you may pay in the future.
An interest-rate cap places a limit on the amount your interest rate can increase or decrease. Interest-rate caps protect you in case index rates increase dramatically over the length of your loan. There are two types of caps:
Discount points are considered a form of interest. Each point is equal to one percent of the loan amount. You pay them, up front, at your loan closing in exchange for a lower interest rate over the life of your loan. More money will be required at closing, but you will have lower monthly payments over the term of your loan.
To determine whether it makes sense for you to pay discount points, compare the cost of the discount points to the savings on your monthly payments created by the lower interest rate. If the number of months it will take to recoup the discount points is longer than you plan on having this mortgage, consider a loan option that doesn't require paying for discount points.
Use our discount points calculator to calculate your savings over time if you decide to pay for discount points.
The federal Truth-in-Lending Act requires that all financial institutions disclose the APR when they advertise a rate. The APR is designed to present the actual cost of obtaining financing by requiring that some, but not all, closing fees are included in the APR calculation. These fees, in addition to the interest rate, determine the estimated cost of financing over the full term of the loan. Since most people do not keep the mortgage for the entire loan term, it may be misleading to spread the effect of some of these upfront costs over the entire loan term.
You can use APR as a guideline to shop for loans, but don't depend solely on the APR in choosing the loan program that's best for you. Look at total fees, possible rate adjustments in the future if you're comparing adjustable-rate mortgages, and the length of time that you plan on having the mortgage.
Don't forget that the APR is an effective interest rate—not the actual interest rate. Your monthly payments will be based on the actual interest rate, the amount you borrow, and the term of your loan.
A 15-year fixed-rate mortgage means that you will own your home in 15 years. The monthly payments are somewhat higher than a 30-year loan, but the interest rate on the 15-year mortgage is usually a little lower. Over 15 years, you'll also pay less than half the total interest cost of a traditional 30-year mortgage.
However, many borrowers find the higher payment out of reach and choose a 30-year mortgage. It still makes sense for many people to choose a 30-year mortgage.
Who Should Consider a 15-Year Mortgage?
The 15-year fixed-rate mortgage is popular with younger homebuyers who have sufficient income to meet the higher monthly payments. Some homebuyers choose this type of mortgage to pay off their home before their children start college. Other higher-income homebuyers who are more established in their careers and desire to own their homes before they retire might also prefer this mortgage.
Advantages and Disadvantages of a 15-Year Mortgage
The 15-year fixed-rate mortgage offers two big advantages for most borrowers:
There's no cost at all for completing our application.
You will be able to lock in your rate for your home purchase when we receive the fully executed purchase agreement.
If you are refinancing, your rate will be locked right when your application is received!
None of the loan programs we offer have penalties for prepayment. You can pay off your mortgage any time with no additional charges.
Interest rates can change at any time. Locking in your rate guarantees that your interest rate will not change, even if rates go up.
When a borrower and a lender agree to a lock, a loan’s interest rate and discount points are guaranteed for a certain number of days. If interest rates rise during your lock period, your lower locked rate is guaranteed.
When Can I Lock?
If you are refinancing, your interest rate will be locked in when you apply. If you are buying a home, your interest rate will be locked in when we receive the fully-executed purchase agreement.
We do not charge a fee to lock in your interest rate.
If you are refinancing, your lock period will be 60 days. For purchases, there is a 60-day lock-in period. This means that if you are buying a home, your loan must close and disburse within 60 days of your lock confirmation.
Immediately after you accept a lock online, you will be able to print the confirmation page for your records. You will also receive a confirmation email.
If mortgage rates decrease during your lock period, you may lock the lower rate for a fee of $250. You may lock up to 10 days prior to your scheduled closing.
A home loan involves many fees, such as the appraisal fee, title charges, closing fees, and state or local taxes. These fees vary from lender to lender. Any lender or broker should be able to give you an estimate of their fees, but it is difficult to tell which lenders are providing a complete and accurate estimate.
To assist you in evaluating our fees, we've grouped them as follows:
Third Party Fees
Fees that we consider third party fees include the appraisal fee, the credit report fee, the settlement or closing fee, the survey fee, tax service fees, title insurance fees, flood certification fees, and courier/mailing fees.
We collect third party fees and pass them onto the person who performed the service. For example, an appraiser is paid the appraisal fee, a credit bureau is paid the credit report fee, and a title company or an attorney is paid the title insurance fees.
Taxes and Other Unavoidable Fees
Fees that we consider to be taxes and other unavoidable fees include: state and local taxes and recording fees. These fees will most likely have to be paid regardless of the lender you choose.
Fees such as discount points, document preparation fees, and loan processing fees are retained by the lender and are used to provide you with the lowest rates possible. This is the category of fees to compare from lender to lender before making a decision.
Required Advances or Prepaid Items
You may be asked to prepay some items at closing that will actually be due in the future.
A common required advance is called "per diem interest" or "interest due at closing." All of our mortgages have payment due dates of the 1st of the month. If your loan is closed on any day other than the first of the month, you'll pay interest, from the date of closing through the end of the month, at closing. For example, if your loan closes on June 15, we'll collect interest from June 15 through June 30 at closing. This also means that you won't make your first mortgage payment until August 1. This type of charge should not vary from lender to lender. All lenders will charge you interest beginning the day the loan funds are disbursed.
If an escrow or impound account will be established, you will make an initial deposit into the escrow account at closing so that sufficient funds are available to pay bills when they become due.
If your loan requires mortgage insurance, up to two months of the mortgage insurance will be collected at closing. Whether or not you must purchase mortgage insurance depends on the size of the down payment you make.If your loan is a purchase, you'll also pay for your first year's homeowner's insurance premium prior to closing. We consider this to be a required advance.
A home is likely one of the most expensive and important purchases you will ever make. You, and especially your mortgage lender, want to make sure that no individual or government entity has any right, lien, claim, or encumbrance on your property. A title insurance company makes sure your rights and interests to the property are clear, that transfer of title takes place efficiently and correctly, and that your interests as a homebuyer are fully protected.
Title insurance companies provide services to buyers, sellers, real estate developers, builders, mortgage lenders, and others who have an interest in real estate transfer. Title companies typically issue two types of title policies:
If the loan is a purchase, both types of policies are issued at the time of closing for a one-time premium. If you are refinancing your home, you probably already have an owner's policy that was issued when you purchased the property, so we only require a lender's policy
Before issuing a policy, the title company performs an in-depth search of public records to determine if anyone other than you has an interest in the property. After a thorough examination of the records, any title problems are usually found and cleared up prior to your purchase of the property. Once a title policy is issued, if any claim covered under your policy is ever filed against your property, the title company will pay the legal fees involved in the defense of your rights. They are also responsible to cover losses arising from a valid claim. This protection remains in effect as long as you or your heirs own the property.Most forms of insurance providing financial protection through pooling risks for losses arising from an unforeseen future event. On the other hand, the purpose of title insurance is to eliminate risks and prevent losses caused by defects in title that may have happened in the past. This risk elimination minimizes the chances that adverse claims might be raised, thereby reducing the number of claims that have to be defended or satisfied. This keeps costs down for the title company and the premiums low for the homebuyer.
Mortgage insurance makes it possible for you to buy a home with less than a 20% down payment. Mortgage insurance should not be confused with mortgage life insurance, which is designed to pay off a mortgage in the event of a borrower's death. Mortgages with low down payments are becoming more and more popular, and by purchasing mortgage insurance, lenders are comfortable with down payments as low as 3%.
The mortgage insurance premium is based on the loan-to-value ratio, the type of loan, and the amount of coverage required by the lender. Usually, the premium is included in your monthly payment and one to two months of the premium is collected as a required advance at closing.
It may be possible to cancel private mortgage insurance at some point, such as when your loan balance is reduced to below 75% to 80% of the property value. Recent federal legislation requires automatic termination of mortgage insurance for many borrowers when their loan balance has been amortized down to 78% of the original property value. If you have any questions about when your mortgage insurance could be canceled, please contact our Mortgage Servicing Department.
The maximum percentage of your home's value depends on the purpose of your loan, how you use the property, and the loan type you choose. The best way to determine what loan amount we can offer is to complete our online application.
A credit score is one piece of information used to evaluate your application. Financial institutions use credit scores to evaluate credit card and auto applications, and mortgage lenders have recently begun to use credit scores to assist with their loan decisions.
Your credit score is based on information reported to credit bureaus about your loan balances and payments. Your credit score is calculated by the credit bureau, not by the lender.
Some things that affect your credit score include your payment history, your loan balances, the length of time you have had credit, the types of credit you use, and the number of recent credit history inquiries.
Using credit scores allows us to quickly and objectively evaluate your credit history when reviewing your loan application. However, there are many other factors when making a loan decision and we never evaluate an application without looking at the your total financial picture.
When your credit report shows many recent credit inquiries, it may sometimes affect your credit score by indicating that your use of credit is increasing. However, data used to calculate your credit score doesn't include any mortgage or auto loan credit inquiries that are made within the 30-day period prior to the score being calculated. In addition, all mortgage inquiries made in any 14-day period are always considered one inquiry. This means you can compare multiple mortgage lenders without it affecting your credit score.
There is no charge for the credit information we'll access with your permission to evaluate your online application. You will only be charged for a credit report if you decide to complete the application process after your loan is approved.
Yes, you can borrow funds to use as your down payment! However, any loans that you take out must be secured by an asset that you own. If you own something of value that you could borrow funds against, such as a car or another home, it's a perfectly acceptable source of funds. If you are planning on obtaining a loan, make sure to include the details of this loan in the Expenses section of the application.
We take advantage of an automated underwriting system, allowing us to request as little information as possible to verify the data you provide. The automated underwriting system compares your financial situation with statistical data from millions of other homeowners and uses that comparison to determine the level of verification needed. In many cases, a single W-2 or pay stub can be used to verify your income or a single bank statement can be used to verify the assets needed to close your loan.
Generally, the income of self-employed borrowers is verified by obtaining copies of personal (and business, if applicable) federal tax returns for the past two (2) years. However, based on your entire financial situation, we may not need full copies of your tax returns. We'll review and average the net income from self-employment that's reported on your tax returns to determine the income that may be used to qualify.
We won't be able to consider any income that hasn't been reported as such on your tax returns. Typically, we'll need at least a one-year, and sometimes a full two-year, history of self-employment to verify that your self-employment income is stable.
For bonus, overtime, or commission income to be considered, you must have a history of receiving it and it must be likely to continue. We'll usually need copies of W-2 statements for the previous two (2) years and a recent pay stub to verify this type of income.
If a major part of your income is commission earnings, we may need to obtain copies of recent tax returns to verify the amount of any business-related expenses. We'll average the amounts you have received over the past two years to calculate the amount that may be considered as a regular part of your income.
If you haven't been receiving bonus, overtime, or commission income for at least one year, it probably can't be given full value when your loan is reviewed for approval.
We will ask for copies of your recent pension check stubs or bank statements. Sometimes it will also be necessary to verify that this income will continue for at least three years, since some pension or retirement plans do not provide income for life.
If you're receiving tax-free income, such as Social Security earnings in some cases, we'll consider the fact that taxes will not be deducted from this income when reviewing your request.
Yes, applying for a mortgage loan before you find a home may be the best thing you could do! We'll issue a pre-approval letter online instantly. You can use the pre-approval letter to assure real estate brokers and sellers that you are a qualified buyer.
When you find the perfect home, you'll simply call your Mortgage Officer to complete your application.
Generally, only income that is reported on your tax return may be considered when applying for a mortgage unless the income is legally tax-free and isn't required to be reported.
If you own rental properties, we'll generally ask for your most recent federal tax return to verify your rental income. We'll review the Schedule E of the tax return to verify your rental income, after all expenses except depreciation. Since depreciation is only a paper loss, it won't be counted against your rental income.
If you haven't owned the rental property for a complete tax year, we'll ask for a copy of any leases you've executed and we'll estimate the expenses of ownership.
Generally, two (2) years of personal tax returns are required to verify your dividend and/or interest income and calculate an average of the amounts you receive. We will also verify your ownership of the assets that generate the income using copies of statements from your financial institution, brokerage statements, stock certificates, or Promissory Notes.
Typically, income from dividends and/or interest must be expected to continue for at least three (3) years to be considered for repayment.
You do not need to provide information about child support, alimony, or separate maintenance income unless you wish to have it considered for repaying your mortgage.
Typically, income from a second job will be considered if a one-year history of secondary employment can be verified.
Applying for your mortgage online is quick and convenient! Here’s how it works:
1. Complete your online application.
The online application takes less than 20 minutes to complete! It asks you questions about the home you are interested in buying or refinancing, as well as about your finances.
After completing your application, a Mortgage Officer will contact you to answer any questions you have. Your Mortgage Officer will work with you to provide help and guidance throughout the entire mortgage process.
If your application is approved online, we’ll contact you for a deposit to cover the cost of the appraisal on your home. If your application isn’t immediately approved, your Mortgage Officer will ask you for more information in order to make a decision about your mortgage. If you are buying a new home, your Mortgage Officer will also contact the real estate broker or seller to answer any questions they might have.
2. Complete the application package and prepare for closing.
Your Mortgage Officer will send you an application package containing papers for you to sign, and a list of documents necessary to verify the information you provided during the online application process.
We’ll work with a licensed appraiser familiar with area home values, to appraise the home you are buying or refinancing. The appraiser will need access to the home for a full appraisal report.
If you are purchasing a home, we’ll work with the real estate broker or seller to ensure the title work is ordered as soon as possible for the necessary title insurance. If you are refinancing, we will take care of the title work for you. The title insurance policy allows us to confirm the legal status of your property and prepare the closing documents.
3. Close on your mortgage.
After the application package, appraisal, and title work are completed and the final underwriting conditions are met, it’s time to schedule your mortgage closing! If you are purchasing a home, we will also schedule the closing with the real estate broker or seller.
Your closing will take place at the office of a title company or attorney in your area. Your Mortgage Officer will contact you a few days before your scheduled closing to answer any final questions you might have.
That’s all there is to it!
Frequently changing employers does not typically affect your ability to obtain a new mortgage. This is particularly true if you have made employment changes without periods of unemployment. We'll also look at your income advancements as you have changed employment.
If you were in school before your current job, enter the name of the school you attended in the "Employer Name" field and the length of time you were in school in the "Employment Length" field. Simply enter a position of "student" and income of "0."
Unfortunately, if you are purchasing a home, we'll have to use the lower of the appraised value or the sales price to determine your down payment requirement.
It's still a great benefit for your financial situation if you are able to purchase a home for less than the appraised value, but our investors don't allow us to use this "instant equity" when making our loan decision.
Gifts are an acceptable source of down payment if the gift giver is related to you or your co-borrower. We'll ask you for the name, address, and phone number of the gift giver, as well as their relationship to you.
If your loan request is for more than 80% of the purchase price, we'll need to verify that you have at least 5% of the property's value in your own assets.
Prior to closing, we'll verify that the gift funds have been transferred to you by obtaining a copy of your bank receipt or deposit slip.
If you're selling your current home to purchase your new home, we'll ask you to provide a copy of the settlement or closing statement to verify that your current mortgage has been paid in full and that you'll have sufficient funds for our closing. Often the closing of your current home is scheduled for the same day as the closing of your new home. If that's the case, we'll just ask you to bring your settlement statement with you to your new mortgage closing.
Congratulations on your new job! If you will be working for the same employer, enter the income you anticipate you'll receive in your new position.
If your employment is with a new employer, complete the application as if this were your current employer and indicate that you have been there for one month. Enter the information about the employment you'll be leaving as a previous employer. Your Mortgage Officer will confirm the details during your loan process.
Generally, a co-signed debt is considered when determining your qualifications for a mortgage. If the co-signed debt affects your ability to obtain a mortgage, we can ignore the monthly payment of the co-signed debt if we can verify that the other person responsible for the debt has made the required payments for the last six months.
Any student loan that will go into repayment within the next six (6) months should be included in the application. If you are not sure exactly what the monthly payment will be at this time, enter an estimated amount.
If other student loans are reflected on your final credit report which will not go into repayment in the next six months, we may need to ask you for verification that repayment will not be required during this time period.
If you've had a bankruptcy or foreclosure in the past, it may affect your ability to get a new mortgage. Unless the bankruptcy or foreclosure was caused by situations beyond your control, we will generally require that two to four years have passed since the bankruptcy or foreclosure. It is also important that you've re-established an acceptable credit history with new loans or credit cards.
An installment debt is a loan that you make payments on, such as an auto loan, a student loan, or a debt consolidation loan. Do not include payments on other living expenses, such as insurance costs or medical bill payments.
Your closing will take place at the office of a title company in your area who will act as our agent. If you are purchasing a new home, the seller may also be at the closing to transfer ownership to you, but in some circumstances, these two events actually happen separately.
During the closing you will be reviewing and signing several loan papers. The closing conducting the closing should be able to answer any questions you have. You may also contact your Mortgage Officer if you prefer.
Your Mortgage Officer will contact you a few days before closing to review your final fees, loan amount, first payment date, etc.The most important documents you will be signing at the closing include:
This document provides an itemized listing of the final fees charged in connection with your loan. If your loan is a purchase, the settlement statement will also include a listing of any fees related to the transaction between you and the seller. If this loan is a refinance, the settlement statement will show the pay-off amounts of any mortgages that will be paid in full with your new loan. Most items on the statement are numbered according to a standardized system used by all lenders. These numbers will correspond to the numbers listed on the Good Faith Estimate in your application package. This document is also commonly known as the closing statement and both the buyer and seller must sign this document.
Truth-in-Lending Statement (TIL)
This document provides full written disclosure of the terms and conditions of a mortgage, including the annual percentage rate (APR) and other fees. It is exactly the same as the TIL that you received immediately after your initial application, except it has been updated to reflect the final rate and fee information. Federal law requires that all lenders provide you with this document at closing.
You sign this document to agree to repay your mortgage. The note will provide you with all of the details of your loan, including the interest rate and term length. It also explains the penalties that you may incur if you fall behind in making your payments.
This document pledges a property to the lender as security for repayment of a debt. This means you will give your property to the lender in the event that you cannot make the mortgage payments. The Mortgage restates the basic information contained in the Note and details the responsibilities of the borrower. If you are refinancing, federal law requires that you have three days to decide that you want a new mortgage after you sign the documents. This means that the loan funds won't be disbursed until three business days have passed. The closing agent will provide more details at the closing
The most important documents you will sign at closing are the note and mortgage. Unless there are special circumstances, these documents are usually prepared one (1) to two (2) days before your closing. Other documents are prepared by the closing agent the day before or the day of your closing. If you would like copies of the completed documents to be sent to you after they are prepared, please contact your Mortgage Officer.
The closing agent acts as our agent and will represent us at the closing. However, your personal Mortgage Officer will contact you prior to closing to talk about your final documents and to provide a final breakdown of your closing fees.
If you have any questions that the closing agent can't answer during the closing, ask them to contact your Mortgage Officer by phone to have your questions answered immediately.
If you won't be able to attend the loan closing, contact your Mortgage Officer to discuss other options. If someone you trust is able to attend on your behalf, you can execute a Power of Attorney so that this person can sign documents on your behalf. In other cases, we're able to mail you the documents in advance so you can sign them and forward them to the closing agent. We're sure to have a solution that will work in your circumstances.
We use a nationwide network of closing agents to conduct our loan closings. We will work with you to find the best location for your mortgage closing.
Setting up automated monthly payments is simple! An automated payment application will be provided at your closing. Return it at your earliest convenience to enroll in the automated payment program.