Welcome to Alliance One Mortgage

The Role of the Real Estate Agent

Your real estate agent is the primary contact when it comes to the sales agreement or contract on a home purchase or sale.

Because his or her role is a highly technical one, it takes special training and a high degree of professionalism.

Although a real estate agent may serve as a consultant to both buyers and sellers, he or she is not the lender. Typically, the real estate agent may help you identify potential lenders; however, the actual loan application process is managed by the lender you select. Be sure to keep this in mind throughout the period your loan is being processed. You should, in fact, establish a relationship with your lender and rely on him or her to keep you updated as to the status of your loan.

The Lender's Role

The lender's role is one of verifying all the information you provide in the loan application.

Once the information you've given is verified through the processing phase, your loan is submitted to an underwriter to make sure all government and/or conventional requirements have been met.

Every step of the way it's vital that your Loan Officer explains the various steps that are taking place, answers all of your questions and keeps you current on the progress of your loan package.

Your Role

Your role in obtaining a home loan is one of simply supplying all of the necessary information needed to process and close your loan. Information accuracy is also an important part of the process. Remember, the lender is trying to process, underwrite, and close your loan as rapidly as possible, and delays are as frustrating to them as they are to you. Most delays in closing your loan can be avoided by providing all of the necessary, accurate information up front in the application.

When You Apply For a Home Loan

If at any point in the approval process, we do not provide the kind of service you expect and deserve, we want to know about it immediately. Just call the Branch Manager of the officer serving you, and we'll respond without delay.

You should be basically familiar with the various stages your loan packages will go through. What's presented below is a "thumbnail" sketch; greater detail will be given to you by your Loan Officer each step of the way.

Loan Origination: Your Loan Officer will take your application and ensure that all of the information is complete. This is typically a good time to ask all of the questions necessary to make an intelligent decision about the type of loan that best suits your needs.
Processing: Your loan processor will verify all of the information you have given. If any discrepancies are found, either the processor or your loan officer will troubleshoot to straighten them out.
Underwriting: This is the stage in the home loan process when your loan is carefully evaluated to insure compliance with underwriting requirements. Once approval of your loan is granted, there may be conditions you will have to meet before closing.
Closing: In closing or settlement, you meet with (usually) an attorney to sign the documents required to allow the lender to fund the loan. Normally, this is a good time to ask any final questions before you sign.

The Home Loan Approval Process

Application/Interview: You complete a loan application and meet with the Loan Officer to submit relevant documents and review the application.
Income/Employment Check: Is your income sufficient to cover monthly payments? The lender uses industry guidelines to evaluate your income and your debts.
Credit Check: What is your ability to repay debts when due? The lender reviews credit reports to determine the type and terms of previous loans. Any lapses or delays in payment are considered and must be explained.
Asset Evaluation: Do you have the funds necessary to make the down payment and pay closing costs? The lender verifies your available funds.
Property Appraisal: Is there sufficient value in the property? The lender has the property appraised to evaluate physical condition, location and zoning.
Other Documentation: In some cases, the lender will require additional documentation before making a final determination regarding approval.
Approval: Although lenders conform to standards set by government agencies, loan approval guidelines vary depending on the terms of each loan. In general, approval is based on two factors: your ability and willingness to repay the loan and the value of the property.

What To Take To Your First Meeting With Your Lender

In order to expedite the loan approval process, you should take the following materials to your first meeting with your lender.

The purchase agreement or sales contract for the property (if available)
Original W2's for the last two years
Pay stub for a pay period within the last 30 days, showing your name and current year-to-date earnings
Bank account numbers and bank office addresses (and your most recent two statements for each account)
The three most recent statements from any investment firms or financial institutions where you have funds or other assets (including stocks and bonds)
If a sale of a property is being used as a source of funds, a copy of the sales contract
Copies of leases for any rental property owned
Account numbers and addresses for all credit cards and outstanding loans
Names and Addresses of landlords for each residence you have rented in the past two years
Certificate of Eligibility and DD 214 from the Veterans Administration (if you are applying for a VA loan)
Social Security card for FHA loans (and a picture I.D.)

If you are self-employed: signed personal Federal tax returns for the past two years, including all schedules, signed year-to-date Profit and Loss Statement, and Current Balance Sheet. Once the lender has reviewed your application, additional documentation or information may be required before your loan can be approved. The sooner you provide the documentation requested, the sooner your loan will be completed.


	Loan Basics - Tour of the Loan Process The Role of the Real Estate Agent Your real estate agent is the primary contact when it comes to the sales agreement or contract on a home purchase or sale. Because his or her role is a highly technical one, it takes special training and a high degree of professionalism. Although a real estate agent may serve as a consultant to both buyers and sellers, he or she is not the lender. Typically, the real estate agent may help you identify potential lenders; however, the actual loan application process is managed by the lender you select. Be sure to keep this in mind throughout the period your loan is being processed. You should, in fact, establish a relationship with your lender and rely on him or her to keep you updated as to the status of your loan. The Lender's Role The lender's role is one of verifying all the information you provide in the loan application. Once the information you've given is verified through the processing phase, your loan is submitted to an underwriter to make sure all government and/or conventional requirements have been met. Every step of the way it's vital that your Loan Officer explains the various steps that are taking place, answers all of your questions and keeps you current on the progress of your loan package. Your Role Your role in obtaining a home loan is one of simply supplying all of the necessary information needed to process and close your loan. Information accuracy is also an important part of the process. Remember, the lender is trying to process, underwrite, and close your loan as rapidly as possible, and delays are as frustrating to them as they are to you. Most delays in closing your loan can be avoided by providing all of the necessary, accurate information up front in the application. When You Apply For a Home Loan If at any point in the approval process, we do not provide the kind of service you expect and deserve, we want to know about it immediately. Just call the Branch Manager of the officer serving you, and we'll respond without delay. You should be basically familiar with the various stages your loan packages will go through. What's presented below is a "thumbnail" sketch; greater detail will be given to you by your Loan Officer each step of the way. Loan Origination Your Loan Officer will take your application and ensure that all of the information is complete. This is typically a good time to ask all of the questions necessary to make an intelligent decision about the type of loan that best suits your needs. Processing Your loan processor will verify all of the information you have given. If any discrepancies are found, either the processor or your loan officer will troubleshoot to straighten them out. Underwriting This is the stage in the home loan process when your loan is carefully evaluated to insure compliance with underwriting requirements. Once approval of your loan is granted, there may be conditions you will have to meet before closing. Closing In closing or settlement, you meet with (usually) an attorney to sign the documents required to allow the lender to fund the loan. Normally, this is a good time to ask any final questions before you sign. The Home Loan Approval Process Application/Interview You complete a loan application and meet with the Loan Officer to submit relevant documents and review the application. Income/Employment Check Is your income sufficient to cover monthly payments? The lender uses industry guidelines to evaluate your income and your debts. Credit Check What is your ability to repay debts when due? The lender reviews credit reports to determine the type and terms of previous loans. Any lapses or delays in payment are considered and must be explained. Asset Evaluation Do you have the funds necessary to make the down payment and pay closing costs? The lender verifies your available funds. Property Appraisal Is there sufficient value in the property? The lender has the property appraised to evaluate physical condition, location and zoning. Other Documentation In some cases, the lender will require additional documentation before making a final determination regarding approval. Approval Although lenders conform to standards set by government agencies, loan approval guidelines vary depending on the terms of each loan. In general, approval is based on two factors: your ability and willingness to repay the loan and the value of the property. What To Take To Your First Meeting With Your Lender In order to expedite the loan approval process, you should take the following materials to your first meeting with your lender. The purchase agreement or sales contract for the property (if available) Original W2's for the last two years Pay stub for a pay period within the last 30 days, showing your name and current year-to-date earnings Bank account numbers and bank office addresses (and your most recent two statements for each account) The three most recent statements from any investment firms or financial institutions where you have funds or other assets (including stocks and bonds) If a sale of a property is being used as a source of funds, a copy of the sales contract Copies of leases for any rental property owned Account numbers and addresses for all credit cards and outstanding loans Names and Addresses of landlords for each residence you have rented in the past two years Certificate of Eligibility and DD 214 from the Veterans Administration (if you are applying for a VA loan) Social Security card for FHA loans (and a picture I.D.) If you are self-employed: signed personal Federal tax returns for the past two years, including all schedules, signed year-to-date Profit and Loss Statement, and Current Balance Sheet. Once the lender has reviewed your application, additional documentation or information may be required before your loan can be approved. The sooner you provide the documentation requested, the sooner your loan will be completed.