Working for the lender along are several very important people, however those alone are not the only people that will have a say on your loan, there are a few others that generally have an input as well. While their business is in approving loans and collecting interest, they are not likely to lend to someone who is either unwilling or unable to pay. Because of these reasons, that is why so many people are involved in the process to ensure that the property is worth what the lender is loaning on it. If the property is not worth the mortgage amount, the lender can be out serious money if the buyers default on the mortgage, which is very costly to the lender.
VIP #1. Loan Officer -This will be the first person who you have contact with in regards to your loan application. They will fill out and process the paperwork, gather additional information necessary. The loan officer will also be the person whom the buyers interact with on a constant basis from applying to the closing paperwork and almost everything in between. This is the person who runs the initial figures to determine what you can afford to borrow, as well as what you can afford to pay in monthly mortgage payments.
VIP #2. Loan Processor -This is the person who is responsible for processing all of the paperwork past the initial application. This is the person who prepared the final paperwork to be sent to the Underwriter for the final loan processing. This is the person who will finalize the loan numbers to ensure they are correct.
VIP #3. Loan Underwriter -This is the mysterious person who has the final “yes” or “no” say on whether your loan will be approved or not. You will likely never see the Underwriter, but they do exist, they have the job of verifying that everything in the paperwork is 100% accurate, they also have the job of ensuring the loan program you are applying for you qualify to receive.
VIP #4. Inspector -This is who is going to inspect the property to ensure that it is worth the asking price. If a home has thousands of dollars worth of damage, it will fail inspection, which will halt the appraisal to determine the exact market value. Their job is to inspect the roof, foundation, walls and everything else that can cause serious damage to the financial value of the property.
VIP #5. Appraiser -This is who does the actual appraisal of the house. They inspect the entire house inside and outside to make note of any damage. They determine the actual property value of the property, so that the loan underwriter can determine if the house is worth lending money on.
VIP #6. Closer -This is the person who finalizes all of the paperwork that will be needed at closing. They are the person responsible for sending all final paperwork to the Settlement Agent who will handle the closing.
VIP #7. Settlement Agent -They are responsible for making sure the buyer is who they say they are, as well as making sure all papers are signed that are required. They are also in charge of ensuring all closing costs are paid by the appropriate party. Some states require this person be an attorney, however this is not the case in all states.
As you can see aside from the buyer and the seller there are seven very important people that are involved in the process of applying for a mortgage. Most people do not realize how many different people are involved in the process; now that you have been informed, you can better understand why the process takes so long.