Many individuals who are buying a home will use the assistance of a mortgage to secure the finances to purchase their home. A mortgage is a loan given by the bank or mortgage lender to assist individuals in purchasing their homes. To learn more about how to obtain a mortgage, continue reading. For assistance with any real estate legal matters, reach out to our experienced New York City real estate attorney. Our firm is here to help.
How can I obtain a mortgage in New York?
The first step you will take when obtaining a mortgage is to find a top mortgage lender or bank with some research. Research those that are in your region and don’t be afraid to ask friends, family members, colleagues, and experienced realtors for a recommendation. Once you have found a mortgage lender, be sure to ask them the following questions:
- Where are your loans processed and underwritten?
- What are all the costs associated with getting a mortgage with your company?
- What types of mortgages do you offer?
- How long will it take for my mortgage to get approved?
What documentation will I need?
The documentation that is needed for a mortgage will vary depending on the lender. Generally, you will need to collect the following documentation.
- A copy of a money deposit check
- Asset statements
- One month pay stubs
- Driver’s license
- The past two years W-2 forms
- Bank statements
- Social security card
- A fully executed purchase contract
What is the difference between pre-qualification and pre-approval?
When purchasing a new home, a common mistake that is made is not getting pre-approval. Pre-approval is different from pre-qualification. A pre-approval is a written commitment from a mortgage lender for a buyer. On the other hand, a pre-qualification is an estimate of how much a buyer can borrow. It can be possible to beat another buyer trying to purchase the same house with a pre-approval.
How long does this process take?
It will depend on the lender for the timeframe it takes for a mortgage to get approved and financed. Be sure to ask how long it takes to get the loans closed before beginning the process. From application, an experienced lender should be able to do so within 30-45 days. However, certain factors can delay this process. Buyers should stay in constant contact with the lender to keep updated.
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Zimmet Law Group, P.C. is an experienced team of attorneys guiding clients through matters of estate planning and administration, divorce and family law, real estate, commercial litigation, business law, bankruptcy, and landlord-tenant law. If you require the services of an effective New York City attorney, contact our firm today to schedule a consultation.