Loan Processing: The Fastest Way for Brokers to Close Loans

Are you tired of loans dragging on for weeks or even months before they even get a chance to close?

Let us help you get past that. 

We have closed loans very quickly using the following methods.  Our goal is to close a loan within 2 weeks which we have done quite often.  We have even closed a loan in a week using this strategy. 

1. Confir with your client that they will need some items at your appointment to fill out the application.

Documents Needed Per File

• Copy of social security card & drivers license (processor has to fill out the "Patriot Act" form.  It's part of the disclosures.
• Letter of explanation of any derogatory credit they might be showing on their credit repot. (if they don't know off hand they can get it to us after the credit has been pulled)
• If a refinance, a copy of their most current mortgage statement
• If a purchase & they are renting, will need the landlord information (Name or company name, phone number)
• Lease agreements on any other properties they own and rent out
• Most current pay stubs for 30 days for all borrowers on the loan qualifying with income
• 2005 & 2006 W-2's for all wage earner borrowers
• If self employed 2005 & 2006 complete tax returns with ALL schedules
• Most current bank statements, IRA, 401K, Mutual Funds, etc
• Purchase contract & copy of earnest money check if a purchase
• Homeowners' insurance if a refinance, if it's a purchase they can get it before we close.
• If the file is stated and the borrower(s) is self employed, we will need a CPA letter that states the borrower(s) have been self employed for the past 2 years at the same location in the same line of work, or a business license or a trade name certificate.

These items will help the processor submit the file immediately to get an approval and process the file quicker.  If the processor reviews the items and needs additional items then he/she may ask for additional items before he/she submits the file.

2.   Make sure that the 1003 is complete.  It's hard to process a file with an incomplete 1003

3.   Let the borrower(s) know that a loan processor will be contacting them for documentation if needed.  This keeps the borrower from getting confused on who he/she is supposed to be speaking with

4.   Have the program, lender, interest rate already picked out so all the loan processor has to do is run it on their website and submit it or send the file with the prequal and the submission sheet the processor filled out

 These are the most important things you can do to insure that your loan will close quickly and efficiently.  If the file is missing a lot of information and/or documentation necessary to proceed with the loan, the loan process will only be that much slower. 

 You will find more tips, adivce, articles, and lender information on our website.  I hope this helps you as a loan broker and look forward to seeing you on more of our blogs. 

Pikes Peak Processing