How Do I Get Approved For A Loan In Phoenix, AZ?

Arizona resort with pool during sunset

Are you shopping around for a mortgage loan in Phoenix, AZ? Whether you go for a contemporary home that melts into the beautiful desert scenery or ranch, mid-century modern or Spanish revival homes, unless you have saved a ton of cash, you’ll need a mortgage loan.

Potempa offers Conventional, FHA, VA, USDA and jumbo loans, and we can walk you through the pre-approval process so you can concentrate on finding a home in your budget that meets your family’s needs.

Whether you are a first-time home buyer or a veteran of previous real estate transactions, getting a mortgage loan requires research, patience and great decision-making skills. To help you navigate the process, we put together this short guide to getting a loan in Phoenix.

Phoenix Mortgage Loan Approval Process

After working with your loan officer from the Potempa Team to get pre-approval, you can narrow your shortlist down to the home you want to live in. Once the offer has been accepted, you can finalize your loan, following these steps.

1. Complete the Application

Your loan application should include your legal name an address and your employment history for the past two years. You also need to show documentation of your income and assets. If you own more than one home, include information on all your properties, including any outstanding loans. You also have to disclose any judgments, collections, foreclosures, and bankruptcies on your credit report.

2. Credit Check

The loan officer pulls a credit check that includes your current liabilities and monthly payments. They are also interested in your credit score. However, your loan officer will consider all the information in your credit report when determining your approval.

3. Underwriting

Next, your application goes through the underwriting pre-approval process. At this point, the loan officer may request additional documents to update your file. This documentation may include the following information:

    • Two most recent federal tax returns
    • Paystubs for the past month to show proof of income
    • Two months of bank statements to show reserves
    • Driver’s license
    • Social security card
    • Letters of explanations, if requested
    • Set up home insurance policy and provide agent’s contact information.

Your loan file goes through underwriting.

4. Approval With or Without Conditions

Typically, you will be asked for additional documentation as a condition of the loan approval. It happens on almost every case, so it’s nothing to worry about. Once you complete all conditions and provide all requested documentation, you will receive a final approval. then, the lender clears your underwriting file and prepares the loan documents for the title company.

5. Final Loan Documents

Your title company and escrow officer prepare the final loan documents for your signature. This requires an appointment with the title company where you will sign all the necessary documents. Then, the title company sends the file to your lender, such as Potempa.

6. Final Review

Your lender will review all of the documents to confirm that you have met all the conditions. Once they make the final approval, they will wire the title company. Finally, the title company records the loan and finance and you receive the money you need to buy your new home.

Contact Potempa today to learn more about the mortgage loan process and how you can get through it as smoothly as possible.

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