Loan Approval
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4    

Obtain Loan Approval
    Once your loan application has been received, brokers will start the loan approval process immediately. This involves:
  4.1

Credit history
  4.2

Employment history
    Assets including your bank account, stocks, mutual fund and retirement accounts.
  4.3

Property value
  4.4

Loan Conditions
    You do not have the final loan approval until all the necessary parties have underwritten the loan.
In order to approve the loan the lender might have to resolve loan issues (conditions). There are two basic type of conditions that have to be resolved;
PTD: Prior to Doc conditions
PTF: Prior to Funding conditions
Loan brokers may get an approval from the lender with in 24-72 hours if no additional clarification (conditions) is required.
    4.4.1

Broker Resolves conditions
      Broker Faxes/Emails "Document orders" to the lender.
    4.4.2 Lender sends documents to the title company (or Broker)
      As soon as loan is approved and all the lender’s requirements are met, all documents will be sent to the Title Company.
Lenders may require Impounds, tax installments payments,
Your Title company will prepare the loan documents for the signature (sign off).
4.5  

Close the Loan – Sign off
    After your loan is approved, you will be required to sign the final loan documents. This will normally take place in front of notary public. Be prepared to :

· Bring cashiers check for your down payment and closing costs if required. Personal checks are normally not acceptable.
· Review the final loan documents. Make sure that the interest rate and loan terms are what you were promised. Also , verify that the name and address on the loan documents are accurate.
· Sign the loan documents.
· Trust Identification – Normally the following information is required:
- Name of Trust
- Is revocable or irrevocable trust
- driver license, Passport and /or Green card Picture ID is required.

If you do not have time to go to the Title Company to sign off your loan documents, brokers can arrange for you to sign all your loan documents at the comfort of your house or office. Either they will come to your house/office or they will dispatch a notary to your home/office.

Your loan will normally close shortly after you have signed the loan documents. On refinance and home equity loan transactions California state law requires that you have 3 days to review the documents before your loan transaction can close.

Note to customers that have their house in a Trust:
· Customers may sign documents to be taken out of the trust
· Customer may sign another document to be put back in to the Trust after the FUNDING
4.6  

3 Days of Recession starts
4.7  

Title Co (or Broker) will send all the loan Documents to the lender