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11 Million More Steps…

We recently had a Realtor tell Heejin that we needed to get loan documents to title 7 days after we got into contract, before she told Heejin how to run our company in general; the conversation didn’t go well :).

In any case, this was interesting b/c the Realtor had been in the business for many years and she did not understand the mortgage side of things at all.

In our Mortgage 101 Seminar, we have a slide that says: “11 Million More Steps.” This is a slight exaggeration, but it is meant to illuminate how much has to take place after a contract is ratified. We are often surprised by how many Realtors do not understand this.

Below are some of the steps that must take place after a contract is ratified. Not all need to be read, but they again illuminate how much needs to be done and why it all takes from 17 to 30 days, no matter what.

1. Request Info From Realtor
2. Request Exact Fees From Escrow
3. Order Appraisal
4. Update Entire Loan File
5. Analyze and Explain Rate Options
6. Lock Interest Rate
7. Prepare Disclosures
8. Prepare File for Underwriting
9. Underwrite File
10. Review Loan Approval
11. Request “Conditions”
12. Review/Submit Conditions
13. Underwriter Signs Off Conditions
14. Obtain Formal “Clear to Close”
15. Request Loan Documents
16. Prepare Closing Disclosure
17. Borrower Signs Closing Disclosure
18. Draw Loan Documents
19. Escrow Prepares Loan Documents for Signing
20. Borrower Signs Loan Documents
21. Escrow Prepares “Funding Package”
22. Lender Receives and Reviews Signed Loan Documents
23. Lender Requests Final “Funding Conditions”
24. Lender Clears to Fund/Request “Wire”
25. Escrow Records Transaction with County

Jay Voorhees
Founder/Broker | JVM Lending
(855) 855-4491 | DRE# 01524255, NMLS# 335646