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Completing a Mortgage Application Online Quickly

We’re lucky to live in the days when mortgage applications can be filled out online. They are complicated and long. Here are some tips for making the process faster for yourself.

  • Prepare. Get everything you need together ahead of time: last year's tax forms, a recent pay stub, your most recent bank statement, a list of current creditors and the minimum amounts you must pay them every month, and a list of monthly expenses like rent, food, and insurance. Go into the application knowing your monthly income and monthly debt. Preparation makes the mortgage application faster and clearer.
  • Find the Site(s). Visit a few lender websites—the names you can trust, not just any company that comes up in a search—and see what their application process looks like before choosing. You may think it's savvy to fill out a ton of mortgage applications in search of the best offer, but you shouldn’t give out your information to just anyone. Pick just a few credible lenders with secure websites.
  • Don’t Take Shortcuts. Don't try to take the easy way out when filling out your mortgage application. Don't skip steps or leave things blank. Be thorough and precise. Time spent now is time and hassle saved later. Also, beware of any lender who claims to let you apply with drastically less information—that’s a sales pitch to get you involved quickly, and they’ll be asking you later for all the same, typical information that every lender needs.
  • Stay Focused. Avoid frustration when filling out a mortgage application by staying focused on the worthwhile goal of home ownership. Potential lenders want to know about your employment history, credit profile, and more. The questions can seem never-ending, but remember that you would be entering into an important investment relationship with the lender and it is in both your interests to be thorough.

Lenders Compete for You Online

In order to be sure you get the best possible mortgage rates, you should obtain quotes from both online sources and from local brokers. Ask for recommendations from friends, family, and coworkers to find local brokers so that you can weigh their offers with those you find online.

One benefit of online shopping for home loans is that you can research each lender’s process from the comfort of a chair, not driving around town or making repetitive phone calls. Geography is no limit anymore. Another big benefit is that lender matching services such as Lendgo will ask easy questions and then funnel the data to numerous lenders at once for their response. Just think how long that would have taken in the old offline days!

How Mortgage Applications Differ When Refinancing

The differences between a refinance mortgage application and a traditional mortgage application are minor, but important. A mortgage application can be used in a number of different purchasing scenarios, while a refinance mortgage application is related to a single property, the home you already own.

Sometimes mortgage applications are submitted in order to obtain pre-approval. To move forward with a refinance application, you'll need all the information about your current mortgage along with the documentation from your last closing. If you are using a refinance to pay off debt or consolidate debts, some lenders will require proof later of the payoff. Likewise, if you said the money was for home improvements, a lender will probably want proof of those improvements later.

Download a Mortgage Application to See What’s Involved

If you would like to know what applying for a mortgage looks like, download a form or pick one up at a local bank branch. Looking over an actual form is a good way to anticipate the questions it asks and the paperwork you should gather before applying, like pay stubs, tax forms, and bank statements.

State-Specific Mortgage Brokers

Every state has its own lending procedures. They also all have their own loan programs and special perks for home buyers. Because of all the differences among states, it's a good idea to fill out your mortgage application with a broker certified in your state. Those brokers should know about incentives and programs in your state or even your city.

My Application Was Rejected. Now What?

Don't let a mortgage application rejection get you down. Certainly ask for details about why the application was rejected. If it was for credit, use it as an opportunity to educate yourself about credit profiles and how to improve yours. Loan applications are rejected every day for myriad reasons—don’t take it personally or be embarrassed.

The mortgage application process is actually a rewarding learning experience. You'll eventually find a loan that will work for you, and in the process you'll probably learn some great tips for managing your credit.