Specializing In Downtown Boston's Historic Neighborhoods Since 1995
A mortgage commitment is a very common contingency for the purchase of most properties. Buyers should obtain a written mortgage pre-approval prior to searching for any property as sellers do not even entertain offers that are not accompanied by a written mortgage pre-approval. A mortgage pre-approval informs the seller exactly how much a buyer will qualify to borrow in addition to their cash down payment, and that the buyer's credit, employment and funds have been verified. I will be in touch regularly with the lender throughout the entire transaction in an effort to monitor the process, prepare and submit all requested closing documents, meet with the appraiser, secure the written mortgage commitment in a timely fashion and to generally assure the process proceeds smoothly and ultimately closes without incident!
The absolute best advice I can provide is to research the mortgage market thoroughly so that you have truly educated yourself with this process. This is process is based primarily upon your income, credit history, credit score, and debt to income ratios. Accurate, reliable and realistic information will prove to be your best asset when negotiating with lenders. Feel free to call me if you would like to discuss this in person as the wrong mortgage could cost you hundreds of dollars a month in this market. Also, it would be good to note that many loan programs have become more difficult to secure especially in the jumbo loan mortgage market!
Federal Lending Standards require your lender to supply you with a "Good Faith Estimate" of your estimated closing costs within a few days of your formal application! Request a written estimate of all application & closing costs, fees, appraisals, points etc and a complete list of required documents to be submitted with your application. Current legislation also requires lenders to supply the buyer with a copy of their credit score which may assist you in negotiating a better interest rate as well as the overall financing package. Request a copy of the actual appraisal when complete as you have paid for this as part of your actual loan application fees.
Depending upon the closing date but typically within fifteen to thirty days after executing the Purchase and Sales Agreement or "P&S", the mortgage company will issue the final written mortgage commitment. The mortgage commitment verifies to the seller and buyer that the lender has secured an independent appraisal of the property, verified the accuracy of the P&S and has begun the initial title search. Time is of the essence in an effort to secure the financing in a timely fashion, so please submit all required documents as the actual underwriter of your loan does not begin processing your loan until all "i"s are dotted and "t"s are crossed! Please keep in mind that the lender usually does not begin processing the closing documents, deed and funds until the last week just prior to the closing date. So be prepared for a few last minute details...see more information in regards Closing Information.
I have been involved in many real estate transactions, and I can impart the names of the following lenders with confidence. These people are all well versed in Boston's mortgage market and possess the necessary skills to help navigate you through the entire process. The vast majority of my client base have hired their services. Consult with your friends, relatives, neighbors and business associates for their recommendations. However, not all lenders are the same and each buyer's portfolio is somewhat different, therefore any one lender may not be the right one for you? Please feel free to start a conversation with me in regards to
this process. There are many tips I could offer and reasons why to choose a
particular lender that will best fit your needs...rates are only the beginning
of a great mortgage!
Please note that www.Richhaen.com nor it's agents assume any responsibility for the services of the aforementioned parties. This list is simply a matter of courtesy, consult your yellow pages for additional companies. We strongly suggest that you contact the Better Business Bureau @ 617 426-9000 or write The BBB @ 20 Park Plaza, Suite 820, Boston MA 02116-4404 (www.bbb.org).