For information on how inquires impact your credit score, refer to FICO’s website for more information.

Generally, it can take approximately 30 days for a purchase mortgage to fund. However, please note that factors such as the type of loan product, property condition, appraisal turn times, market demand, and ability to obtain required documentation may impact these timeframes. Contact a Home Loan Specialist for current turn times.

Prequalification
The home finance specialist collects estimates of your income and liabilities to determine what mortgage products may be available to you and what you can afford to borrow. Our home finance specialists can prequalify you by phone in some cases. It normally takes 15 to 20 minutes, and the applicant will receive a prequalification letter.

Preapproval
This is a more thorough review of your creditworthiness. We verify not only your credit, but also your income, assets, and liabilities. Further, you will need to submit documentation such as proof of income, assets, and debt records. The process can take 20 minutes if you come prepared, or in some cases up to two business days.

Once your offer to purchase a home is accepted and you have applied for a mortgage, the lender will order an appraisal to ensure that the property’s value is sufficient for the loan amount requested. A licensed appraiser will visit the property to conduct the appraisal inspection. Generally, the appraisal report is completed and received between two days to two weeks, depending on the type of appraisal, the location of the property, and market demand.

Generally, closing is when you sign your loan documents and become obligated on the mortgage loan, and in a purchase transaction, when the seller signs documents to transfer your title to the property. The timing may depend on state laws and local practices.

This is the repayment period of a loan during which payments of both principal and interest are required to be made to pay down the balance on the loan according to the terms of the loan documents prior to its maturity date. The amortization period may vary by the loan product and whether the loan has an interest-only period. For example, a 30-year fixed rate mortgage loan, which requires principal and interest payments from the beginning, has a 30-year amortization period.

Interest paid on your mortgage loan and home equity line of credit may be tax deductible for some borrowers. Consult your tax advisor for more information.

Click here to download an outline of our common mortgage fees and costs.

Our customer service team can provide a loan payoff amount. Simply call 888-915-2327 (TTY: 800-659-5495) and select “mortgage payoff” to speak with one of our team members.

Fixed-Rate Mortgage

• Interest rate will never change
• Predictable monthly principal and interest payments
• Protects you from interest rate increases over time
• Most popular because of its stability

Adjustable-Rate Mortgage (ARM)

• Low initial interest rate that is fixed for a set period
• After the fixed-rate period, the interest rate adjusts based on an index (such as SOFR) and monthly payments fluctuate with the market
• May be best if you plan to pay more on your loan early on or live in your home for a short time

Mortgage insurance (MI) protects your lender against financial loss if you can’t repay your loan. If your down payment is less than 20%, you may be required to have mortgage insurance.