Home Loan Options
Premier Mortgage Resources is a full service mortgage bank with loan programs that accommodate most borrowers and financial situations. This flexibility allows us to help more clients and close loans on time. In addition to our rockstar loan originators, we have an incredible team of Underwriters and Closers who work together efficiently to accomplish one goal: the smooth and successful closing of our clients home loan. Our clients loan are handled internally until the loan closes with all decisions made locally, ensuring a quicker closing and faster response time for our clients.
The home buying process:
- Know your credit – once the application is completed we will check your credit report. This will confirm your credit scores, your monthly debts and any derogatory accounts in processing your preapproval amount.
- Documentation, documentation, documentation. It’s a pain in the butt but required. After the real estate meltdown in 2008, there is a more thorough vetting process to lower the amount of defaults that occurred during the recession. Too many people were approved for mortgages that they could not afford. Defaults are down significantly since then and continue to drop which is a great thing. We won’t ask for a blood sample, we promise.
It is imperative that you get all your requested documentation in and answer all questions your mortgage team has. This allows for a smooth preapproval which later allows for a smooth home purchase.
Employment/Income: Banks require 2 years of employment documented via W2s and tax returns. To verify income, 30 days worth of recent paystubs is typically required. Your employer will also need to provide a verification of employment that details your start date, structure of compensation and the last 2 years of income totals. If you have just returned to the work force after an extended absence (6 months or more), you will typically need to be back employed for a minimum of 6 months.
College or trade school counts toward employment history!
You just started working as a Boeing Engineer but have been in school for the past few years. That’s great! Your schooling can count toward your 2 years of required employment. As long as you were in school for 2 years and can validate it via transcripts, it counts. You would not need to be on your job for 2 years. Instead, most banks would just require your first paystub or job offer letter.
Know your down payment budget and where it is coming from
Your preapproval is contingent on your down payment. It’s important to discuss your budget upfront with your mortgage team. The amount of your down payment can determine the type of loan program that best fits your needs.
Where are the funds coming from? Checking/savings, 401k, IRA, gifted? Each type of down payment funds requires certain documentation. Were funds transferred from one account to another? One common source is cash on hand. Cash on hand is not an approved source of down payment funds. If you have money in a safe at home discuss with your mortgage team. Typically you’ll need to have that deposited into an actual bank and seasoned for 2 months before it can be used as allowable down payment funds.
What type of property are you interested in?
- Single Family Home
- Manufactured Home
It’s important to know the type of home you’re interested in as there are specific requirements regarding down payment, income, credit scores and documentation for each.
Once your application and documentation are received, they are sent into the underwriting department. These are the people that approve your loan based on the information that was provided. This process typically takes about 24hrs.
Once your loan is approved you are ready to shop! However, first things first…budget.
Now that you know what you are approved for, the next step is to determine which price points are within your budget. Just because you are approved for a certain amount does not mean it is within your budget. It’s important to discuss your short and long term plans with your mortgage team so that they can help you determine a healthy budget.
Find a Realtor
It’s important that you work with an experienced Realtor that knows the market, is fulltime and active. We work with some of the top Realtors in Washington and are happy to refer you to one.