The mortgage process typically consists of six steps. Contact us today with questions about the mortgage process or start your online application with a mortgage loan officer near you.
Home sellers prefer offers from pre-qualified buyers, so start by applying for your loan. Use our Mortgage Application Checklist to determine the documents you will need to have handy, then apply in any of the following ways:
- Apply online with a mortgage loan officer near you.
- Visit or call your local Bremer branch to meet with an experienced mortgage lender.
Based on the information you give us, your mortgage loan officer will provide you an estimated pre-qualified loan amount and also help you determine the best possible financing and mortgage options.
In order to purchase your chosen home or property, you will need to complete a few additional forms to process your loan.
Some of the forms involved include:
- Good Faith Estimate of Settlement Costs: This details the loan amount and all related charges and fees.
- Truth in Lending Disclosure: This lets you know what your estimated Annual Percentage Rate (APR) of interest will be and any other program features that apply.
- Borrowers Authorization/Certification: When you sign this, you authorize that all the information you provide is correct to the best of your knowledge. It also allows us to finalize the process by contacting your landlord, employer, mortgage company and others and to obtain a credit report to verify your credit history.
Next, we’ll arrange an appraisal of the property to determine its current market value. We use carefully selected and approved appraisers that visit the property and compare it to similar properties in the area to ensure the house is appraised at the correct value. Please know that an appraisal reflects the market value of your home, or what a typical buyer would pay for your home at that point in time, not the reconstruction or tax value. You will receive a copy of the appraisal at closing.
We also obtain a title opinion (an attorney’s opinion) at this time. This will tell us the legal details of the property including any potential liens against it (i.e. another loan). You will be required to obtain owners coverage for title insurance at your closing. This process may take up to 30 days depending on the location. You will also be required to obtain homeowners’ insurance. Learn more about insurance options available from Bremer.
During final approval, an underwriter reviews the paperwork and loan details and decides whether or not they support the earlier preliminary approval issued (in step two). A few key items reviewed include:
- The property: A review of the appraisal report to verify value.
- Total debt ratio: The ratio between all your stable sources of income against all your debts. Debts and income used in this process may vary based on the loan program chosen.
- Cash reserves: After your loan settlement costs are paid, this is the amount of money left over in your bank account.
- Credit history: Current and past payment history is a measure of how likely you are to repay your loan.
- Employment history: The stability of your income, and how likely it is to continue.
You made it! At the closing you’ll be signing many documents; the closing agent will explain everything to you so you know what you’re signing. Your Bremer mortgage lender can arrange to be there as well to assist with questions. At this time you will be expected to take care of any closing costs and the balance of your down payment. Once you complete this step, you’ll be a homeowner.