Our Process
We are a homegrown company that provides localized direct mortgage lending solutions for Colorado properties.
Cedar Home Loans simplifies the process for home loans & refinancing.
We know how nerve-wracking and tedious the mortgage approval process can be. The unique challenges of lending on Colorado properties can make the process even more time-consuming.
As a local mortgage broker, we want to make it easy for clients to get approved for Colorado properties. That is why we streamlined our lending process to give you quick and personalized loan solutions. We even offer a free quote to clients who need to know more about the mortgage process.
To ease your mind, we’ve outlined the general process for our services below.
1) Pre-Approval/Pre-Qualification
While not required, a mortgage pre-approval or pre-qualification will give you an advantage, especially in the competitive Colorado housing market.
A pre-approval or pre-qualification is an estimate of how much you can loan from a lender. With a pre-approval, real estate agents and sellers are more likely to be receptive to engaging with you.
Cedar Home Loans will look at your income and credit when you come in for pre-approval. This will allow us to determine what monthly payment, down payment, and total purchase price/loan amount you may qualify for. Moreover, we will only run a tri-merge with your permission.
To learn more about other requirements, you may get in touch with our CEO Andrew McBryan.
2) Mortgage Application
Once you gain pre-qualification, you are now ready to make serious offers for a home or condominium. At this stage, you’ll need to find a property and make an offer. This commonly includes putting down earnest money, or deposits that are 1 to 2% of the total sale price.
Take note of the contingencies of the deal, and you will have a purchase agreement. We will then help you apply for a final mortgage following this agreement, as your local mortgage broker.
While lenders have different requirements, they generally want documentation of your:
- Employment
- Credit history
- Income
- Debts
- Assets
What Do Mortgage Lenders Look For?
- Credit check
- Income / Confirmation of income
- Assets/Proof of assets, including bank accounts and investment portfolio
- If applicable, your current mortgage
- Debts, bankruptcies, foreclosures, delinquencies
- Employment history
- Down payment amount
- Desired mortgage amount
3) Loan Processing
Lenders use information from all submitted documents to create a loan estimate. You will typically receive this form within three days of applying for a mortgage. This form provides the estimate, terms, and conditions of the mortgage you’ve applied for.
You can use this form to compare offers from multiple lenders. However, Cedar Home Loans can help you find the best deals from these offers. Once you settle on an offer, the lender will begin to process your loan application.
4) Underwriting
Perhaps the most important part of the process, underwriters will decide if your application is approved or not. Underwriters evaluates risks the lenders may take on if they accept your application. Clients will usually have no contact with underwriters.
During this period, underwriters will verify the information you have submitted. As part of their risk assessment, they will usually order an appraisal on your target property. They will also order a credit report if it wasn’t part of your pre-approval process, on top of employment and asset verification.
Lenders may also ask you for additional documents as part of the approval process.
5) Closing
Once your mortgage is approved, it’s time to close. You will be asked to sign a closing disclosure form, among other documents, at the title company or attorney’s office. We strongly advise you to review the fees charged at this stage, to ensure there are no hidden fees.
Cedar Home Loans will never tack on additional charges if you hire us as a mortgage broker. As our CEO Andrew McBryan assures:
We are a Colorado mortgage broker ready to provide custom lending solutions.
McBryan has 25 years of experience in helping clients close on their dream Colorado proprieties. With Cedar Home Loans, he continues to help clients get rates that no other lender can match.
Any client interested in great customer service and local knowledge of Colorado’s mortgage lenders and rates may call us for a free quote
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