Know what the loan costs before you sign it.
Pre-approval, the rate, the monthly payment and the closing costs, in plain numbers you can check against any lender.
Demystifying Home Loans
If you haven’t experienced it before, the home loan process can feel overwhelming, but our agents will help you stay informed throughout the process, from pre-approval to closing. The first thing to do is consult with a mortgage specialist (or two). If you don’t already have someone in mind, we work with local lenders we trust and we’d be glad to introduce you.
Get Pre-Approval
Before you start looking for a home to buy, it’s a good idea to meet with your Loan Officer to get pre-approved for a loan amount. At this stage, the lender gathers information about income, assets and debts of the borrower (you) to determine how much house you may be able to afford. This includes a credit report, W-2 forms, pay stubs, Federal Tax Returns and recent bank statements.
There are a variety of different loan programs, so make sure to get pre-qualification for the specific programs that best suit your needs.
Loan Pre-Approval Letter
Loan amount
$455,000
Monthly payment
$3,500
Repayment term
30 years
Authorized signature
Approved
Estimate Your Monthly Payment
Estimate your mortgage payment, including the principal and interest, taxes, insurance, HOA, and Private Mortgage Insurance.
$3,198.20
Estimated Monthly Payment
- Principal & interest
- $2,398.20 (75.0%)
- Taxes
- $500.00 (15.6%)
- HOA
- $100.00 (3.1%)
- Insurance
- $200.00 (6.3%)
Representative rates
Representative rates only, indicative for comparison. Edit the interest rate for your own quote; your lender’s numbers vary with credit, points, and insurance.
Find The Right Loan
Start the process
We’ll connect you with a local loan officer, competitive rates, and programs that fit how you’re buying. Fill out this form and we’ll make the introduction today.
- Local lenders who know Hudson Valley closings
- Rate and program comparison, explained plainly
- First-time buyer and renovation programs included
Application & Processing
What happens when a loan goes “live”
When you find a property you’re ready to buy, your lender will help you complete a full mortgage loan application, and talk you through the various fees and down payment options. The application is submitted to processing, where the documents are reviewed and appraisals and title examination is ordered. Then, the loan is sent to an underwriter, who reviews and approves the entire loan if it meets compliance.
Application
In review- Application submittedDone
- Documents reviewedDone
- Appraisal orderedDone
- Title examinationPending
- Underwriting reviewPending
Closing
Signing and finalizing the deal
Don’t be surprised if you’re asked for additional documentation or clarification throughout the process. Once your loan is approved, don’t forget to set up homeowners insurance. Your documents will be sent to the title company,where you’ll sign for the new home and pay any remaining costs. Then, the loan is recorded and you get the keys.
Questions
Asked and answered
The questions people actually ask about financing a home, answered the way we would answer them on the phone. If yours is not here, ask us and we will add it.
Are you a lender?
No. We are your agents, and the financing help here is about protecting your side of the deal. We connect you with lenders our clients have actually closed with, and we read the numbers with you before you sign anything.
What is the difference between pre-qualification and pre-approval?
A pre-qualification is an estimate built from what you tell a lender. A pre-approval means the lender has verified your income, credit, and assets. That letter is what a seller takes seriously when your offer lands next to someone else's.
How much do I need for a down payment?
Less than most people think. Conventional programs start around 3 to 5 percent, FHA at 3.5, and VA and USDA can be zero down if you qualify. Twenty percent avoids mortgage insurance, but waiting years to save it often costs more than the insurance does.
What closing costs should I expect in New York?
Plan on roughly 2 to 5 percent of the purchase price on top of your down payment: lender fees, title, attorney, and New York's mortgage recording tax. Above one million dollars the state adds the mansion tax. We put the full sheet in front of you before you commit.
My credit is not perfect. Can I still buy?
Often, yes. FHA programs go lower than most people expect, and a good loan officer can map the two or three moves that raise your score fastest. The only way to know is to ask, and the conversation costs nothing.