In almost everything you do in life, timing is everything. It truly is everything when you're in the process of buying a home and your competition is wanting the same home as you. Luckily, there are many ways for you to help the loan approval process move along faster to get you to your desired closing date. Here are a few ways:
- Ask many questions and have them handy. The best questions to be prepared for are about the loan programs available, information to start the pre-approval process, the potential timeline, turn around times, and longevity of rate locks. Some people may prefer the slower lender's mortgage options but you have to take into consideration the home seller and the purchasing offers and negotiations with that seller.
- Have your financial information together. This can really help the mortgage process when you're in the process of applying for pre-approval. Most would say to "go ahead and get pre-approved" before searching for homes. This will also give you an idea of how much you want to spend.
- Make informed budget decisions. When you're pre-approved for a mortgage, you know the maximum amount of money you are able to spend. Always take into consideration monthly costs of everything you need to take care of and be aware of your own personal expenses. This will save you from wasting time looking for homes you can't afford. "It will cut down a little on the heartache," says Jason Bateman, head of Redfin Mortgage.
- Make confident offers on homes. When it comes to sellers, they don't want to waste any time and surely they're getting other offers thrown at them. To show that you're a serious buyer, work with your agent to come up with an appealing offer that will make the seller think twice about it.
- Digital options are the way to go. Nowadays, you can pretty much do anything over the internet. You can send in your financial information through an automated system and even be accepted for a loan through the internet. I recently e-signed a document, and I couldn't tell you how much I loved the convenience of it. Quick, easy, and saves paper!
- Ask questions when you're uncertain. Although the digital option is a very convenient way to do things, it doesn't allow you to have a one-on-one conversation with someone that can help you in person. This is where you need to stop in your tracks and not hesitate to contact someone who can help. It's never a good idea to sign a document that isn't to your full understanding.
- Almost always be by your phone. Even on the toilet. During the whole loan application, you will more than likely be asked for a certain document or detail that wasn't given at an earlier time. Loan officers are typically busy going from one loan to the next, so fast answers to their questions will speed up the process.