How The Mortgage Process Works From Qualification To Closing is different among the various mortgage companies. However, the step of the overall home loan process is an actual process that involves multiple people and departments. The goal of the lender, whether they are mortgage bankers or mortgage brokers, is to get a mortgage loan application to the finish line.

The finish line is clear to close. Clear to close means the mortgage underwriter has signed off on the file and has given a stamp of approval to prepare closing docs and wire the funds. In this blog, we will go over how the mortgage process works from qualification to closing at Capital Lending Network.

No two lenders have the exact business model. However, getting from a loan application to a clear close is similar with all lenders. By going over the steps of the mortgage process at CLN Mortgage Group, our clients will have a better understanding of how the overall mortgage application and approval process works.

How The Mortgage Process Works: The Scheduler

The scope of work the scheduler is to take calls from potential clients and manage the lead flow. The scheduler will contact potential clients who contact Capital Lending Network, Inc. either by completing a mortgage inquiry form or calling our offices. The scheduler will schedule the borrower an appointment for a consultation with a loan officer when the initial lead comes in.

There is a 4-call and 2 SMS repeat follow-up schedule for the scheduler to call the lead to get the loan consultation booked. If not booked the lead goes into a drip campaign and the lead workflow is stopped. When a loan officer from Capital Lending Network, Inc. calls on an appointment time and the lead does not answer, the scheduler is tasked to reschedule the appointment.

Again 4 calls and 2 SMS call schedules. Once the consultation is conducted with the borrower, the scheduler will then coordinate blackout time for the loan officer. The loan officer will set up all new loan applications during the blackout time arranged by the scheduler. The loan officer will send the loan options report to the scheduler.

The scheduler will set a day and time for the potential borrower and the loan officer to review the loan options report. The loan officer will determine whether the borrower qualifies now or if there are other tasks the borrower needs to do so they become eligible. Basically, the scheduler is the LO’s executive assistant.

How The Mortgage Process Works: Production Partner

Once the scheduler has accomplished their work, the file then gets transferred to a production partner.

Here is the scope of work of the Production Partner:

• The production partner is in charge of the mortgage intaken after the loan application is received.
• It is the job of the production partner to set up a new loan.
• The loan officer will review all documentation.
• After reviewing all documentation, the loan officer completes the loan setup checklists.
• Both internal checklist and wholesale lenders submission checklist to ensure all pertinent documentation is obtained prior to loan registration.

The production partner will register the loan with a wholesale lender.

Wholesale Lender

The production partner will inform the loan officer the loan has been registered at a particular wholesale lender for the loan officer’s lock and float strategy:

• The production partner’s job also includes insuring the loan disclosures are correct.
• The production partner will make sure the borrower acknowledged the initial disclosures.
• It is the responsibility of the production partner to make sure the wholesale lender has the intent to proceed with acknowledgment by the borrower.
• The production partner will update all parties as to updates on the loan as well as updated conditional loan approval.
• The production partner will order the home appraisal through the Appraisal Management Company (AMC).
• The production partner will be responsible to make sure the borrower’s credit card was successful in making the payment for the appraisal order as well as note the inspection dates and the completion date.

Updates workflow based on lender turn times.

The Role Of The Approval Coordinator At Capital Lending Network

The role of the Approval Coordinator is to work on the conditional loan approval as they come it. The approval coordinator will prioritize the conditional loan approvals of individual borrowers based on the closing date:

• Will ensure the home appraisal is received on the stated report due date.
• Will review the home appraisal and make sure the appraisal is acceptable and came in at value.
• Will review the list of conditions.

Make sure all conditions are complete, legible, have no missing pages, and upload conditions.
The approval coordinator will make sure the account manager of the wholesale lender can see the conditions submitted and all conditions are in the underwriters’ queue. Make sure the conditional review is completed based on the lender’s turn time. Will notify the loan officer to make sure the loan is locked prior to submitting the file for a clear to close.

Mortgage Process Timeline

The mortgage process can be a lengthy and confusing one. Here is a timeline of what you can expect when applying for a mortgage.

1. Applying for a Mortgage

The first step in the mortgage process is to fill out a loan application with your chosen lender. You will need to provide personal information such as your name, address, Social Security number, and employment history. Be prepared to answer questions about your finances, including your income, debts, and assets.

2. Getting Pre-Approved

Once you have submitted your loan application, the lender will review your financial information and decide how much they are willing to lend you. This is called pre-approval and it gives you an idea of what size mortgage you can afford.

3. Choosing the Right Mortgage

There are many different types of mortgages available, so it’s important to choose the one that best suits your needs. Some factors to consider include the interest rate, term length, and whether you want a fixed-rate or adjustable-rate mortgage.

4. Shopping for a Home

Once you have been pre-approved for a mortgage, you can start shopping for your new home. Keep in mind your budget and the type of home you are looking for when narrowing down your search.

5. Making an Offer

When you find the perfect home, it’s time to make an offer. Your real estate agent will help you negotiate with the seller to try and get the best price possible. 6. Getting a Home Inspection: Once your offer has been accepted, it’s time to get a home inspection. This is important to make sure there are no major problems with the property before you finalize the purchase.

6. Applying for a Mortgage

Once you have a signed purchase agreement, you will need to apply for a mortgage. The lender will review your financial information and decide how much they are willing to lend you.

7. Closing on the Mortgage

After your mortgage application has been approved, you will need to sign all of the paperwork and close on the loan. This is when the money changes hands and you officially become the owner of your new home.

The mortgage process can be long and confusing, but following these steps will help you get through it successfully. If you’re looking for more information on the mortgage process, check out our blog post on the topic. We cover everything from pre-approval to closing on your loan.The approval coordinator will be under pressure to get make sure the clear to close is issued in ample time for docs to be prepared and the closing date set.

The approval coordinator needs to make sure the Closing Disclosure (CD) is sent out in ample time prior to closing. Responsibility includes closing documents that are sent to Escrow based on turn time. Will check on all prior to funding conditions having been addressed and cleared. Completes all final compliance checks on file and closes loan files.

Capital Lending Network is a high-volume mortgage broker. This is why there are multiple mortgage professionals during the loan approval process. Other lenders may just have one mortgage processor handling a file from A through Z. It is up to the individual mortgage company how they decide on how to set up their overall processing and approval team.