Loan/Mortgage FAQ
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What is the difference between loan qualification, pre-approval and commitment?
When should I apply for a home loan?
What types of mortgage programs are out there?
Why use BG Mortgage?
What is the difference between loan qualification, pre-approval and commitment?
Lending institutions provide their borrowers with various documents to predict their ability to secure financing. A typical "loan qualification" or "pre-approval" document is provided to assure a seller of a borrowers' ability to obtain a potential mortgage loan based solely on income, assets and debt situation.
Often, it does not require any verification of the representations made and, therefore, very rarely does it actually contain language binding a lender to provide a loan. Even less frequently does any "loan qualification" or "pre-approval" document actually state the address of the property in question.
A typical "loan approval notice" or "mortgage commitment" is provided by a lender as a notice that the borrower's income, assets, debts and credit worthiness are judged sufficient; and that they have verified the value of and approved the condition of the property being purchased. Typically it will also itemize any outstanding conditions that remain to be satisfied prior to the actual closing and funding of the loan.
Although a "loan approval notice" or "mortgage commitment" provides the borrower, and also the seller, with a much greater comfort level that the purchase is imminent, it is still subject to final approval.
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When should I apply for a home loan?
Within 5 days of signing the purchase agreement.
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What types of mortgage programs are out there?
It would not be to much of an exaggeration in today's real estate market, especially as borrowers are becoming more savvy and as competition between the various mortgage lenders intensifies, to say that there are almost as many different types of mortgage programs as their are different types of borrowers. Any potential purchaser would be wise to shop around with several different lenders to find the loan program that best fits their needs.
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Why use BG Mortgage?
- As part of the Belgravia family, the process is fully integrated from the start. From contract, selections, upgrades and all the way through our mortgage staff works closely with our development staff to ensure seamless integration of all aspects of your new home purchase.
- We intimately know the Belgravia communities.
- Our appraisers are completely familiar with the Belgravia communities and the subtleties of the units within each project -- providing you with an easy appraisal process.
- As an affiliate of Wells Fargo Home Mortgage, the nation's leading lender, we offer to our clients the most comprehensive mix of financing options.
- We are experts on new construction lending.
- We have the full spectrum of loan programs and options to ensure your financing package fits you and your financial picture and needs.
- We understand and smoothly communicate the financing of your upgrades into your financing package.
- We offer 12-month interest rate lock; not a rate cap program but a true rate lock for 12 months; offering you security against rising interest rates.
- We share a strong commitment to the same values and desire to exceed your expectations in the financing process as Belgravia.
- We offer competitive rates and closing costs.
- We know the closing schedules for each Belgravia community.
- The closing documents and funds are at the closing on time.
- The highest possible level of accountability to you.
- No surprises!
