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Website

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  HOMEBUYER KNOWLEDGE ISPOWER SEMINAR SPONSORED BY ____ YOUR COMPANY NAME HERE ___   Equal Housing Opportunity © Silver State Trainers Inc 2007
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  PREQUALIFICATION As aservice for you, after this presentation we will have loan originators available for you to discuss your homeownership goals. You may also set an appointment to review your credit and start the prequalification process in private. Prequalification is risk free no money is required no obligation to complete the transaction
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  PREQUALIFICATION All ourmortgage loan originators are professionals and will keep all your information confidential. We will try to answer all your questions. We are here to serve your home buying goals.
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  QUALIFICATION Qualification meansa mortgage professional will review your three ‘C’s of lending Capacity Do you have sufficient funds to close the loan? Do you have sufficient income to support the loan? Character How do you handle your creditors? Collateral Does the property meet the program requirements?
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  DOES BAD CREDIT= NO LOAN? NOT TRUE! With the current mortgage industry there are many loan programs available to meet all types of borrower’s situations. If for some reason you are not able to meet the loan requirements, the mortgage professional will inform you what it may take for you to meet these requirements in the future. You should find out where you stand in the lender’s eyes.
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  QUESTIONS & ANSWERTIME There is no such thing as a stupid question Our mortgage professionals are here to help you Private consultations are available JUST ASK!
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  APPLICATION PROCESS Loanoriginator interviews the borrower and completes loan application. Loan disclosures are signed Loan originator gives the borrower a complete Good Faith Estimate (GFE) Borrower supplies: at least 3 months bank statements Social security card Photo ID/Green card Addresses for last 24 months
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  LOAN PROGRAMS Loanoriginator will review your mortgage program options Some will allow you to have little or no income documentation Some allow not so perfect credit; charge offs and collections not required to be paid off
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  LOAN PROGRAMS Terminologycan be confusing “ What are my closing costs?” Does not mean “ What is the total amount of funds needed to close on the house?” There are closing costs and prepaids disclosed on GFE, down payment, and maybe reserves required. Most lenders require you escrow for real estate taxes and insurance – these are called pre-paids.
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  YOUR CREDIT Loanoriginator will review a Tri-merge credit report You may obtain credit report direct from credit reporting agency New FACTA requires the bureaus to give the consumer one free credit report a year (credit score costs) www.annualcreditreport.com Three main bureaus Transunion Equifax Experian
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  CREDIT SCORES Caution – Inquiries lower your credit score! Shopping mortgage lenders or loan originators can lower your score Shopping for any type of credit will lower score Try not to use your credit while in home buying process
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  TYPES OF CREDITNo credit activity may cause no credit scores to generate Alternative credit – letters of credit Trade lines from creditors need to be reported to credit bureau Fannie Mae requires 4-5 trade lines open 12 –24 months
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  QUESTIONS & ANSWERTIME There is no such thing as a stupid question Our mortgage professionals are here to help you Private consultations are available JUST ASK!
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  CHOOSING THE RIGHT LOAN PROGRAM The Loan Originator will: Review all the loan programs available – there are many Ensure you are getting the best choice of loan products Meet your home ownership goals And make it all seem easy!
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  LOAN PROCESSING Processingis a procedure that verifies and gathers all documentation necessary for the underwriter’s review Processor will verify and update the initial application and organize the supporting documentation supplied by the borrower.
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  UNDERWRITING Underwriting isthe decision-making stage in mortgage cycle 3 “c”s – critical areas analyzed: - Capacity - Character - Collateral
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  CLOSING AND FUNDINGWhat questions can be asked at closing? Not many – Escrow officers can help you with questions about when is the first loan payment, your property’s title Issues, payment period for Real estate taxes, and best ways to hold title to property
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  CLOSING AND FUNDINGYour loan originator should have explained what type of loan program you’re getting, how the loan program works, monthly payment, interest rate, pre-payment penalties, mortgage insurance, etc.
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  QUESTIONS & ANSWERTIME There is no such thing as a stupid question Our mortgage professionals are here to help you Private consultations are available JUST ASK!