Wisconsin Home Mortgages – The Mortgage Process

You and the Road to Home Ownership in Wisconsin

For the first-time homebuyer, the road toward home ownership might look long and complicated. But it really isn't. After all, everyone you'll meet along the way is in the business of getting you into that new home or condo!

Providence Home Lending Wisconsin mortgage lenders have over 200 years of combined mortgage-lending experience among them, serving people just like you and families just like yours.

Estimating What You Can Afford

The mortgage journey begins by asking yourself three basic questions:

How much would I be comfortable paying per month?
How long do I think I'll live in the home?
What down payment do I have to invest?

Your answers to these three questions will help you find out two important things:

The price range of homes you should be considering.
The length of mortgage that's best for you.

Remember when considering your monthly payment to include local real estate taxes, as well as any mortgage insurance that might be required.

Mortgage Pre-Qualification and Pre-Approval

Pre-Qualification and Pre-Approval are two different things, although people often speak about them as if they were one and the same.

Pre-Qualification is a free, informal estimate of your borrowing power. It's based on your credit rating, which we will obtain at no cost to you, and the information you provide about your finances and situation. It all takes only minutes!

Just talk to one of our mortgage specialists by telephone, email, or in person, and he or she will give you a quick estimate of how much you can likely borrow given your individual circumstances. Based on your credit rating and the information that you've provided, a Pre-Qualification letter can be sent to your real estate agent.

Pre-Approval makes you a power shopper! It's a firm dollar amount for which you qualify, made after your income, assets, and credit have been favorably reviewed by us. Of course, it's subject to a satisfactory appraisal of the home you eventually choose, and assumes no change in your employment or creditworthiness prior to closing.

There are many benefits to Pre-Approval, and there is no cost to apply for it.

The Wisconsin Home Mortgages Application Process

By this point you've probably estimated what you can afford and might even have obtained Pre-Approval. The Wisconsin Home Mortgages Application Process is a bit more formal, and it will require you to put together some documentation for the lender to see. This will include:

Proof of income, which can be consecutive copies of your most recent pay stubs for the past month, or a copy of a signed offer that states your new salary.
Your Form W-2 for the last two years. Alternatively, if you are self-employed or receive commission income, you'll need two consecutive year's tax returns.
Your last two consecutive monthly bank statements, listing all your assets in checking, savings, mutual funds, brokerage, and retirement accounts.
Miscellaneous information, depending on your personal situation, such as copies of resident alien cards, visas, divorce decrees, etc.

There might be other documentation needed if you are self-employed or only earn commissioned income. One of our mortgage specialists can tell you more about this.

Underwriting

Underwriting involves evaluating your credit history, debts, assets, and income along with information about the value and condition of the house you wish to mortgage. Basically, underwriters consider three things: Collateral, Capacity, and Credit.

Collateral is the fair market value of the house you want to mortgage. It's determined by an independent appraiser who considers the "going prices" of at least three similar houses in the area that have been sold in the last six months.
Capacity is the ratio of your debts to income. Everything else being equal, the less you owe relative to your income, the more creditworthy you're considered.
Credit Rating is your history of paying debts on time, such as rent, car loans, mortgage payments, and especially credit cards.

Tasks Prior to Closing

There are some essential tasks that will need doing before your Closing Day can take place, and that's another way that we will help you. We can arrange and coordinate these important details for you whenever possible, and connect you to trustworthy professional resources where necessary, including:

Setting the Closing Date
Selecting a Closing Agent
Securing Title Services
Obtaining Homeowner's Insurance

Your Closing Day

The day you close on your new Wisconsin home can be one of life's happiest for you and your family. Your Closing Day not only completes the journey toward obtaining your mortgage, it's when your new house officially and legally becomes yours. What could be more exciting?

On your Closing Day, your Wisconsin home mortgage is activated, the title to your new home is transferred to you by recording a deed, and you are given the keys. Persons at your Closing Day might include the seller, real estate agents, your mortgage consultant, and perhaps one or two attorneys if you and/or the seller retain one.

And at the end of the day, the house will be yours!

More information regarding our services:

Refinance your Mortgage
Buying a Wisconsin Home

What people are saying about us

"My wife and I would really like to thank Carrie for the time she spent working on our situation. It was so awesome to hear some honest information and advice! Should we or ANYONE we know ever need mortgage services, we will definitely recommend Carrie." J.L., Customer from Waukesha
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Did you know?

Some inexpensive home improvements will add significant value to the selling price of your home, while some very expensive ones will not.

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