Getting the contract to your lender is the next stop in the closing process (if you are financing). Your lender will also need a copy of the contract so they can start doing the work on their end to get you to closing. If I am your REALTORⓇ, I will handle this part for you.
Loan Application
You will formally apply for your loan. Your lender most likely will request updated documents from when you were pre-approved for your loan. Getting documents to your lender in a timely manner is very important. Not getting your lender the requested documents in a timely manner is the #1 cause for a delayed closing. Sometimes, the lender may ask for documents a second (or third) time or you may not understand why a lender needs certain documents. Feel free to ask your lender any questions about the documents that are needed but send those documents as quickly as you can!
Title Search
Your lender will request your closing attorney start the title search. The attorney’s office will have someone search public records to determine the history of ownership of the home you are purchasing and to check for any defects on the title. Defects could be things like liens, judgements or easements. The title search make sure the seller can convey the property with a clean title. Title searches typically take 2-3 weeks to complete.
Appraisal
Your lender will order the appraisal. The appraiser will contact me or the listing agent to schedule a date for the appraisal.
Condo Questionnaire
If you are purchasing a condo, the lender will also contact the HOA and have a Condo Questionnaire completed.
Final Loan Approval
Your lender will gather the above information (title search, condo questionnaire, if applicable, and appraisal) along with your financial information to formally approve you for the loan to buy your home. Final loan approval usually comes a few days to a week before closing.
