Buying or refinancing a home is easier when you know what to expect. Here's a step-by-step guide to our mortgage loan application and closing process.
Selecting the type of mortgage
Applying for your loan
Document preparation & closing
We can help you evaluate your options based on:
How much you want to spend on your new home
How much money you have for a down payment
How long you plan to stay in your new home
How much you can afford for your monthly payment
Your monthly income
Your total debt
You should strongly consider getting pre-qualified for a set loan amount before you go house hunting. That way, you can move quickly when you find the home you want. A pre-qualification letter is a tool that says to the seller you’re serious about your intent to buy and that your offer is valid.
You can either work with one of our Loan Officers in person or over the phone to complete your loan application or get started online. The loan application will ask questions about you, your finances and the property.
Borrower information – The basics about you
Income – Where you work and how much you earn
Assets – Source of funds for your down payment and closing costs
Property information – Approximately how much you plan to spend
Here are some ways to get started with your loan:
In person we are glad to meet with you to help you complete the application. Call us at (866) 649-3863 to schedule an appointment
Having all the necessary information when you apply saves time.
Within three business days after submitting your loan application, we will provide you with a Loan Estimate for your review.
A Loan Processor will contact you to introduce him or herself and serve as your mortgage expert to answer your questions and provide help along the way.
Once you have submitted your application, we will begin processing your request. Documents will be sent to you containing important information regarding your new mortgage. Please review and retain them for your records.
The only upfront fee you are required to pay is the cost of the appraisal report for the subject property. This fee is paid by you directly to F&M Bank. All other fees are paid at the time of closing your loan.
During the application process, you should avoid doing any of the following, which could impact your ability to qualify for a mortgage:
Do not change jobs. Changing jobs immediately before or during the application process may cause problems, especially if the new job is in a different line of work or if there is a reduction in pay.
Do not make major purchases. The addition of a large monthly payment, such as a new car or furniture, may affect your ability to qualify for the mortgage you requested.
If you must do any of the above, please contact your Loan Officer.
The final decision of the loan involves reviewing the property, your loan application information, credit information, a specific loan amount and a loan program based on your income, debts and assets. You will be notified of the decision in writing.
If your loan request is approved, the loan will be prepared for closing.
We will prepare the loan documents for you and send them to a notary/escrow company in your area for signing. This is often referred to as closing or settlement. We will provide you the Closing Disclosure document before signing loan documents.
Title insurance will be necessary whether you are purchasing or refinancing your home and we will order this for you. We'll use the title insurance policy to confirm the legal status of your property and to prepare documents for your closing. In most cases, we will set up escrow for payment of real estate taxes and homeowners insurance.
Homeowners insurance will be required as a part of closing. You will need to provide your closing agent with all information related to insurance prior to your closing date.
You can schedule a date with your closing agent that is convenient for you. If you are purchasing a home, you'll also coordinate the closing with the real estate agent as well as the seller.
Once we receive the signed documents, we will disburse the loan funds and record the documents at the local government clerk’s office.