Blog

Your Guide to the Mortgage Process

When looking to buy a home, the process itself can be exhausting. Here is a step-by-step walk through of what to expect when going through the home loan process with First State Bank Nebraska.

No two home loans are the same. First State’s experienced lenders have seen it all and are prepared to help you and your unique situation. All home loan decisions are made in-house, where First State handles everything from your mortgage origination to closing services.

Once you’re ready to start the home buying process, call one of our home loan officers to get started!

When you first talk to a lender, they’ll discuss loan options and your down payment. This will help them figure out how much you can afford. Once they have all the initial information, they’ll direct you to an online application to get the process started.

After you apply online, lenders calculate a pre-qualification amount and an interest rate by looking at your income, credit history and report, credit score, and assets. In the current climate, prequalification is strongly encouraged. This is great for knowing what your budget will be when you start looking at potential homes and being pre-qualified will make you appear more attractive to sellers and real estate agents.

Now you can start shopping for a home in your budget.

Once you’ve found a home and your offer is accepted, it will take about a day to get an estimate that will have the terms, rates and fees of your loan. Also, after the application is submitted, the underwriting process will begin. This is when First State’s in-house mortgage underwriter goes through your application and verifies all the information you have provided. Once verification is complete, you’ll receive a final approval on your loan.

After all of that is finalized, you will need to provide the down payment for the property, payment for the agreed upon closing costs and proof of homeowners insurance. This information can be found in the closing discourse which you will receive after the underwriting is completed.

Final step – close on your new home! Once everything is signed and handed over, you’ll receive the keys to your property and you’ll officially be able to move into your new home.

You can expect to get a mortgage in an average of 45 days, although this can vary depending on the type of loan, time of year, lender, mortgage application, and much more.

If you have any questions about the home loan process or are ready to get started on your new home journey, contact any of our mortgage loan officers.