PERSONAL BANKING – LOANS – HOME
Getting a mortgage loan is a big decision. This may be the biggest financial transaction most people make. To help you navigate the journey, we provide easy ways of proceeding through the home loan selection process by giving you:
- Access to dedicated mortgage professionals who can help guide you through the process, explain what you need to know, answer any questions you may have and help smooth the bumps in the road.
- Free Pre-qualification letter for the purchase of a home or lot just by speaking with one of our loan officers and sharing financial information about you.
- Access to online information that assists you through the home loan decision process.
Discussing Your Home Loan Needs
It is important to think clearly about your needs and goals, and discuss them with your BSV loan officer so that you can obtain the type of mortgage product that is right for you.
Here are a few questions to think about when deciding what type of mortgage product to obtain:
- Are you looking to buy, build, or improve existing home?
- What are the loan funds being used for?
- How long do you plan to stay in your home?
- Are you interested in stable, predictable payments for the life of the loan or a low initial rate and low monthly payments for the first few years of the loan?
- Do you want a loan that allows you to make a low down payment?
- Do you need a loan with flexible qualifying guidelines because of past credit problems?
- Are you interested in a loan that can help you build equity quickly?
- Do you want to pay your loan off faster (and save significant interest costs) or stretch your payments over a longer term with a lower monthly payment?
Understanding Your Credit
Your credit history is one of the important pieces of information in the lending process. The type of credit, your credit history, amount of debt and payment history indicates your willingness to repay a loan by how you have managed your finances in the past.
Credit scores have an impact on the terms of the financing, the amount you qualify to borrow and the interest rate. Scores are assigned a number ranging from 350 to 800 which vary by credit reporting company.
Once you have determined on how much you can afford it’s time to evaluate budgeting. For a purchase you may need to save for closing costs and down payment. You may also need to have a cushion for home maintenance or repair expenses and emergencies. Make sure your budget plan takes into account lifestyle expenses and not just the basics.
Certain information will need to be provided when applying for a home loan. The following is a list of information that may be requested at application and will vary based on loan type.
- Check for application fee and appraisal cost
- Signed copy of purchase contract including all amendments and riders
- Pay stubs most recent 30 days
- Personal Tax returns and W-2’s for most recent two years
- All bank and investment account statements for most recent 60 days
- Sales contact on current home, if being sold
- Existing Mortgage Statement
- Homeowners Policy
- Survey or plat
- Deed of property with recorded easement (to obtain legal description)
- Most recent tax assessment
- Specification Sheet
- Bid Sheet for subs (Must have all bids attached)
- Builder Contract
- Building Permit with Banker’s Title, LLC listed as MLA
- Recent Perk test or septic permit
- Material List
- Certificate of eligibility
- If active duty, most recent LES and Statement of Service
- DD 214
BSV is here as your trusted advisor through every stage of the home loan process and it is our pleasure to assist you.