The Mortgage Loan Process
Five Simple Steps to Homeownership
Getting a mortgage doesn’t have to feel overwhelming. I’ll walk you through five clear steps — from pre-qualifying to closing — so you always know exactly where you stand.
1 Get Pre-Qualified: Know Your Numbers
Goal: estimate a comfortable price and payment range before you shop.
- Estimate monthly payment comfort (principal, interest, taxes, insurance, HOA).
- Review credit range and debts to gauge borrowing power.
- Decide if you want a quick pre-qual or a fuller pre-approval (docs verified).
i Loan-to-Value (LTV) & Debt-to-Income (DTI)
Higher down payments reduce LTV; stronger DTI usually improves approval odds and pricing. We’ll model both to find your sweet spot.
i Credit considerations
Payment history, utilization, and recent inquiries matter. Avoid new credit pulls while we’re preparing your file.
Pro tip: Keep funds traceable. Large transfers require paper trails; gift funds need a simple letter.
2 Choose the Right Loan Strategy
Fixed-rate fits when you want:
- Payment stability for the long haul.
- Predictability if you’ll stay 7+ years.
- Simple budgeting with no rate resets.
ARM fits when you want:
- Lower initial rate and plan to move/ refi in ~5 years.
- Flexibility if income is rising.
- Comfort with possible payment changes.
+ Points vs no points
Buying points can lower your rate; breakeven depends on time in the home. We’ll show a side-by-side with breakeven months.
? Down payment options
From low-down programs to stronger-equity plans, we’ll match cash-to-close with your comfort and goals.
3 Apply & Upload Documentation
Typical documents:
- Recent pay stubs and W-2s/1099s (or business returns if self-employed).
- Recent bank/asset statements; photo ID(s).
- Mortgage/rent history; explanation letters if needed.
i Self-employed notes
Expect 2 years of filed returns or alternative documentation per program. We’ll guide how to present income clearly.
i Locking your rate
We’ll discuss lock timing, float-down options (if available), and how milestones affect lock periods.
Upload tip: Use native PDFs when possible; avoid photos of screens; keep page edges visible for automated reads.
4 Processing & Underwriting
What we verify:
- Income & employment
- Credit profile
- Assets & reserves
- Property appraisal & title
To keep us on track:
- Reply quickly to condition requests.
- Don’t open new credit or make big purchases.
- Don’t move funds without a paper trail.
- Tell us about travel near closing dates.
? Appraisal basics
Appraisers assess market value for the lender. Location, comps, and property condition influence the report.
? Title & insurance
Title ensures clear ownership; homeowner’s insurance is required prior to final docs. Flood insurance if applicable.
5 Closing & Final Signatures
What happens at closing:
- Review Closing Disclosure and final terms carefully.
- Sign with a notary (mobile or at a closing location).
- Provide any final items requested by the settlement team.
i Funds & IDs
Bring valid ID. Use a cashier’s check or wire per instructions (verify by phone to avoid fraud).
i After closing
Funding and recording complete the process. On owner-occupied refinances, a 3-day rescission may apply before funding.
Final tip: Set up autopay and save your closing package digitally for easy access at tax time.
Connect with Me Now for Quicker Answers
Don’t wait on email — call or book a quick consult and get the clarity you need today.
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© Copyright 2023 NEXA Mortgage. All rights reserved
.NEXA Mortgage - NMLS# 1660690
5559 S Sossaman Rd Building 1 #101, Mesa, AZ 85212
https://nmlsconsumeraccess.org/EntityDetails.aspx/COMPANY/1660690
NEXA Mortgage LLC is an Equal Housing Lender
Qualified Home Mortgage – Powered by NEXA Mortgage
Steven “Harry” Protopappas, Mortgage Loan Originator
NMLS #2543750| Licensed in California, Nevada, and Texas
📞 (619) 815-7100 | ✉️ [email protected]
.Notice To Texas Loan Applicants: Consumers wishing to file a complaint against a mortgage banker, or a licensed mortgage banker residential mortgage loan originator, should complete and send a complaint form to the Texas Department of Savings and Mortgage Lending, 2601 North Lamar, Suite 201, Austin, TX 78705. Complaint forms and instructions may be obtained from the department’s website at www.sml.texas.gov https://bit.ly/3B5pAfz
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