Buying a house can sound a little overwhelming, but with the right resources by your side it can be a painless experience. If this is your first time buying a home, don’t worry. We will be here to help you through the entire mortgage process, from the day you apply to the day you close on your new home. You are just ten steps away from holding your first set of house keys in your hand. Let’s go!
So, exactly how long does it take to buy a house? On average, it takes approximately 30 to 45 days to close on a home, but when you apply using our digital mortgage application, you can close on your home up to 12 days faster and without any unwanted surprises. Here is what to expect when you apply for a loan with Envoy.
When you begin a loan application with Envoy, you will be paired with a loan originator, get prequalified and then choose the loan that will work best for your unique financial situation.
The first step to the mortgage process is finding an Envoy loan originator in your area. Just head to the “find a loan originator” page on our website, type in your zip code and choose the branch nearest you. For an even more personalized experience, you can read the bio of each loan originator at the branch closest to you and find a loan originator that really stands out!
During the prequalification stage your loan originator will perform a soft credit inquiry to determine if you qualify for a home loan. A prequalification letter is based on certain assumptions and it is not a guaranteed loan offer. Your prequalification letter notifies you of the amount of financing you would be qualified for.
After you receive a prequalification letter, it is time to crunch the numbers with your loan originator. Your loan originator will help you determine which loan options work best for your financial goals and current situation. You can even use our free loan calculator to see what you average monthly mortgage payment might look like.
All your hard work has paid off and now it’s time for the fun part! Now, you can go shopping for your dream home! In this stage of the mortgage process you can request a preapproval letter, find a home and make a down payment to secure an offer.
Before you begin house hunting your Envoy loan originator will submit your credit and assets for evaluation to determine if you are preapproved for the loan. A preapproval letter lets the seller know that you are serious buyer and is necessary in any competitive market.
Now, it is time to connect with a Realtor that you trust in your area. Keep in mind, a mortgage preapproval letter is typically only valid for approximately 90 days. Your letter will have a date on it, after which it is no longer valid. The reason why preapproval letters expire is because banks need the most up-to date information about your salary, assets and debts. If you’re still house hunting past the expiration date on your pre-approval letter, you should contact your loan originator regarding what is necessary for you to receive an updated preapproval letter. Once you find your dream home, you will notify your Envoy loan originator that you plan to make an offer on the home.
You will secure the home with an agreed upon deposit provided by the seller’s agent. When a home is under contract it means that you are making an offer on the home and the seller has accepted, but the sale is not final. When the transaction is complete and the loan is finalized, then the status of the home will be marked as sold.
While the property is under contract, all demands must be met before the sale is complete. You will still need to close on the loan and meet all other conditions for the sale to be finalized.
There are only a few steps left to complete before your purchase is considered finalized. In this part of the mortgage process, you will need to meet all underwriting conditions. Envoy will order a title report, appraisal and a certification to verify whether your property is located in a flood zone. You will need to obtain homeowner’s insurance and provide Envoy with your proof of insurance prior to the time you close on your loan.
While a home inspection is not mandatory it is in your best interest to obtain a home inspection to determine if the property has any current damages. The home inspector will perform a visual observation to identify any health, safety, mechanical or foundational issues. If anything is found during the home inspection, you may be able to renegotiate your offer or request repairs.
After your home passes inspection, you will need to order the home insurance, and in most cases, flood insurance if the property is in a flood-prone area. Each of these items protect you, the homebuyer, from financial loss should something unforeseen occur in the future.
Your loan will enter into final underwriting approval where your signed documents will be reviewed and your loan originator will verify that nothing has changed since the last review on your loan. When the loan funds, you can get your keys and enjoy your new home!
You are just one step away from being able to move into your new home! During this stage of the process you will meet with your Envoy loan originator, the title company and Realtor to sign your closing documents.
At Envoy, we make closing on your home simple. With our alternative closing option you can sign most of your important documents well before you even get to your closing appointment. Choosing this option will reduce the time you spend at your closing appointment from two hours to just fifteen minutes!
Buying a home doesn’t have to be overwhelming. If you have the right team and resources by your side it can be a seamless process. We make your mortgage experience one to love by personalizing the loan process, because we believe your loan should be just as unique as you are!