To determine the value of the property you are purchasing or refinancing, an appraisal will be required. An appraisal report is a written description and estimate of the value of the property. National standards govern not only the format for the appraisal; they also specify the appraiser's qualifications and credentials. In addition, most states now have licensing requirements for appraisers evaluating properties located within their states. <br><br>The appraiser will create a written report for us. We will promptly give you a copy of your appraisal, even if your loan does not close.

After the appraiser inspects the property, they will compare the qualities of your home with other homes that have sold recently in the same neighborhood.  These homes are called "comparables" and play a significant role in the appraisal process. Using industry guidelines, the appraiser will try to weigh the major components of these properties (i.e., design, square footage, number of rooms, lot size, age, etc.) to the components of your home to come up with an estimated value of your home.  The appraiser adjusts the price of each comparable sale (up or down) depending on how it compares (better or worse) with your property. 

It is not uncommon for the appraised value of a property to be exactly the same as the amount stated on your sales contract.  This is not a coincidence, nor does it question the competence of the appraiser.  Your purchase contract is the most valid sales transaction there is.  It represents what a buyer is willing to offer for the property and the seller is willing to accept.  Only when the comparable sales differ greatly from your sales contract will the appraised value be very different.

Fixed Rate Mortgage is the traditional mortgage which has a constant interest rate and monthly payment throughout the life of the loan, as opposed to adjustable rate (ARM) loans where the interest rate adjusts periodically.

Adjustable Rate Mortgage also known as a 3/3 and 5/5 ARM offer a fixed payment for a longer period of time than most adjustable rate loans. For example, a "3/3 ARM loan" has a fixed monthly payment and interest rate for the first three years and then adjusts every three years for the remaining term of the loan.  It will not increase more than 2% every 3 years and can not increase more than 6% for the entire life of the loan.

Home Equity Line of Credit (HELOC) you have the ability to borrow or draw money multiple times from an available maximum amount.  The interest rate adjusts annually.

Home Equity Loan  you receive the money you are borrowing in a lump sum payment and you usually have a fixed interest rate.  A home equity loan (sometimes called an HEL) allows you to borrow money using the equity in your home as collateral. Equity is the amount your property is currently worth, minus the amount of any existing mortgage on your property. You receive the money from a home equity loan as a lump sum. A home equity loan usually has a fixed interest rate.

Construction Loan is a short-term loan that provides funds to cover the cost of building or rehabilitating a home.  The money borrowed through a construction loan is provided in a series of advances as the construction progresses. During the construction phase you will make monthly interest payments.  Once construction is complete your loan will be converted to a regular monthly principal and interest payment with escrow if applicable. 

There is no charge to you at this time.  You will only be charged for a credit report if you decide to complete the application process after your loan is approved.

Yes, you can borrow funds to use as your down payment! However, any loans that you take out must be secured by an asset that you own. If you own something of value that you could borrow funds against such as a car or another home, it's a perfectly acceptable source of funds.

Typically, income from a second job will be considered if a one-year history of secondary employment can be verified.

Gifts are an acceptable source of down payment, if the gift giver is related to you or your co-borrower. We'll ask you for the name, address, and phone number of the gift giver, as well as the donor's relationship to you.

If your loan request is for more than 80% of the purchase price, we'll need to verify that you have at least 5% of the property's value in your own assets.

Prior to closing, we'll verify that the gift funds have been transferred to you by obtaining a copy of your bank receipt or deposit slip to verify that you have deposited the gift funds into your account.

Our goal is to close your loan in 30 days or less!  Generally the items that take the longest to receive are the appraisal and title work.  We like to get these ordered as soon as possible to avoid any delays. If you are purchasing a new home, we'll do our best to meet the date you and the seller have agreed upon.  If you are refinancing or obtaining a home equity loan, it rarely takes more than 30 days to close. 

Absolutely! Automated monthly payments are available.  At the loan closing an automated payment application will be provided for you to complete.  We'll set it up that day and you wont ever need to worry about whether your payment has been made.