Completing a Mortgage Application Online Quickly
Online mortgage applications may seem easy, but the truth of the matter is no mortgage application, online or otherwise, is ever that simple. Here are tips for what you can do to make is easier on yourself.
- Prepare -Get all everything you need together ahead of time. Find last year's taxes, a pay stub, most recent bank statement, your current creditors and all other financial account information. Preparation makes your mortgage application completion faster and easier.
- Find the Site(s) - Find a lender web site with which you are comfortable with before you fill out your mortgage application. You may think it's savvy to fill out a ton of mortgage applications in search of the best loan program, but if you give out personal information to the wrong site, you're asking for trouble. Research, and select just a few creditable sites, and you'll still get a decent variety of loan program options.
- Be Thorough - Don't try to take the easy way out when filling out your mortgage application. Don't skip steps or eave things blank. Be detailed, precise and thorough and the entire application process will be better as a result.
Applying for a Mortgage Online
The internet has improved the ease of information sharing, particularly about buying a home, home ownership and mortgage applications. In our current times, you can go online with just about any lender and find out the information they will need, the process to fill out an application and the rates and terms of mortgage that are available to you.
This information sharing and free access to data has made the market of mortgages more competitive; benefiting all consumers. With online lenders you are able to get dozens of mortgage and loan quotes, without ever having to visit a local bank branch. This means you are not limited to just the banks in your geographical area, as well.
By educating yourself about the mortgage application process and keeping personal information you need for applying readily available, your mortgage application process will be quick, and straightforward.
Stay Focused to Avoid Mortgage Application Frustration
Why are mortgage applications so long and detailed? Lenders are taking a huge risk with you, letting you borrow large amounts of money, and so it makes sense that they want to know everything they cant about you. If you focus on a few basics, you can avoid some of the frustration during your application for a mortgage.
- Employment Information – Lenders use your employment and income habits in order to calculate their risk
- Credit History – Before filling out a mortgage application, you should know your credit score and the type of information in your credit report. Sometimes loans have been paid off, but have not been removed from your credit report, so you will need explanations for the lenders.
- Report your expenses and payments accurately. Giving your lender all the information they need allows them to accurately calculate what you can really afford instead of a house you can't afford based on misrepresented information.
Refinance Mortgage Application Differences
The differences between a refinance mortgage application and a traditional mortgage application are minor, but important.
- A mortgage application can be used for a number of different properties 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.
- Typically when you fill out a refinance mortgage application, you already know the type of refinance loan you want. Refinance choices come down to the various rates and terms, or if you are looking to “cash out” refinance. If you are using a refinance to payoff a debt or consolidate debts, some lenders require proof of the payoff for debt consolidation. They may also require proof of home improvements completed with a home improvement refinance loan.
Download a Mortgage Application Online
If you would like to look at the various mortgage applications before actually filling them out, you can look online and download the form to your computer, or pay a visit to your local lenders for hard copy examples.
This is a great way to begin gathering your information. As you look over the mortgage applications, you'll learn what paperwork you need, for instance pay stubs, bank account statements, IRA statements and other documents, and can be prepared when you actually submit a mortgage application.
Downloading mortgage applications and printing them out is extremely simple. If you don't have a printer, you can go to your local library and print it from there. Alternatively, you could visit your local lenders and ask for a copy of a mortgage application to take home for review.
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 always a good idea to fill out your mortgage application with a state certified mortgage broker. You won't be able to keep track of the special incentives your state or even your city are giving to first time home buyers, home restoration or neighborhood improvement, but a mortgage broker certified in your state should know about them. Mortgage applications take a minimal amount of time to fill out and looking into state specific mortgage options may yield surprising, positive results. Each state has different procedures and processes, so read up and learn about them, and be sure to use a state specific mortgage broker to be sure you make use of all the opportunities that may be available to you.
Compare Mortgage Quotes Online and from a Broker
In order to be sure you get the best possible mortgage rates, you should obtain quotes from both online sources and from local brokers.
- To get many options and information, submit a mortgage application to an online mortgage broker. You'll receive a lot of information with just a little work..
- To learn about local options, and any state or regional programs that can help you, submit a mortgage application to your local mortgage broker.
When you've done both of these steps, compare all of your options and make the best choice for your particular situation.
Resubmitting a Mortgage Application after Rejection
Don't let a mortgage application rejection get you down. Use this rejection as an opportunity to educate yourself about your credit and how to repair it in order to obtain mortgage application acceptance, as well as a better future for your credit situation.
Certainly ask for details about why your mortgage application was rejected, as this is how you will figure out how to fix the problem. Forget any embarrassment or humiliation and use the rejection as a learning experience. An application can be rejected for any number of reasons, including credit issues, work history or income verification. Work with a consumer credit counselor to repair any issues before you re-submit your mortgage application.
The mortgage application process is a wonderful learning experience. You'll eventually find a loan that will work for you, and you'll probably learn some great tips for managing your credit in the process.
Submit a 2nd Mortgage Application Online
A second mortgage, or home equity loan has a very similar application process to that of a regular mortgage application. First, you'll want to look online for the best home equity line rates and terms. Then you'll fill out online application forms with the lenders you've determined you can trust. Online lenders have a wide variety of mortgage programs available and technology allows for information to be exchanged quickly meaning you'll get a quicker response.
Once you've chosen a lender, you'll get actual document copies in the mail. You'll want to complete these immediately and mail or fax them back to your lender. Home equity lines generally move faster than mortgages, so your closing will quickly approach once you've been approved.