Purchasing a home in California can be a stressful process for the buyer (and seller too!), bringing a mixture of emotions: excitement, nervousness and uncertainty. CalVet understands, because they’ve helped thousands of veterans purchase a home. The key is to understand the basic steps in the home buying process. With my help, before you know it, you will be holding the keys to your new home!
Loan Calculators Their loan calculators are a great place to start when you are considering purchasing a home. These calculators are designed to help you determine if purchasing a home is a prudent financial decision for you and your family. Once you are comfortable with your analysis, the following steps will guide you to realizing the dream of home ownership.
Get Pre-approved Before you begin your new home search, you will want to get pre-approved with CalVet Home Loans. In the pre-approval process you will work with a CalVet Loan originator to review your income, assets and credit worthiness. They will pre-underwrite the proposed loan and determine exactly how much home you can afford. You will receive a pre-approval letter to submit with all purchase offer contracts. To learn more about the pre-approval process visit the Pre-Approval information page.
Here’s How it Works
Select a Real Estate Agent – Although not required by CalVet, a real estate agent (like me!) helps you find a home, negotiate a successful offer and generally represents your interests throughout the process. An agent with good knowledge of the area you wish to purchase in is ideal. Your CalVet Loan originator will work closely with you and I to form your home buying team. Your CalVet Loan originator will make contact with me, just provide contact information when you make your choice.
Make Offers – I will make offers to purchase the properties that meet your requirements. The pre-approval letter will convey to the seller of these properties that you are a qualified buyer who is able to perform on the proposed contract. As an added benefit, CalVet management will be available to call any and all sellers who are unfamiliar with the CalVet program and processes. CalVet is committed to closing your loan quickly and in time to meet the needs of both buyers and sellers.
Accepted Offers – When you have one of your offers accepted, you will receive a signed purchase agreement from the seller. I will immediately contact your CalVet Loan originator and send in the signed contract (purchase agreement) and all counter offers. Upon receipt by CalVet, your loan will immediately move into the loan processing and final approval stage.
Loan Processing and Final Approval – Once you have made an offer on a home and the seller accepts it, your loan will go into the processing and final underwriting stages. Here, with the help of myself, you will supply the purchase contract and title company information for the transaction. We will order an appraisal and collect all the remaining documents needed. Appraisals should be received within seven days of ordering, and upon receipt, CalVet will underwrite the file to issue a final approval. During this time, your CalVet Loan originator will work closely with you and I to satisfy any final loan conditions.
Contingency Period – The contingency period allows you time in contract to collect more information without forfeiting your deposit. The time frame ranges from between 10-18 calendar days and is typical in most purchase contracts. During this period, I will help you:
- Review and approve the Seller’s Real Estate Transfer Disclosure Statement
- Review and approve the Preliminary Title Report
- Contract for physical inspections
- Order, review, and approve requested or required inspections
Homeowners Insurance Coverage – Most CalVet Home Loan properties are required to be insured under our CalVet Fire & Hazard and Disaster Indemnity coverage. CalVet has extraordinary coverage that is a true benefit to veterans. A CalVet Insurance specialist will be contacting you to discuss the process and coverages. When the CalVet Home Loan you qualify for does not include CalVet required Fire & Hazard (typically for manufactured homes), you will need to secure your own insurance through an agent of your choice and we will require evidence of insurance.
Document Preparation and Closing – Once your loan is fully approved, we will prepare your loan documents and submit them to the title and escrow companies for you to sign. Typically, the escrow officer at the escrow company will provide a Buyer’s Estimated Closing Statement, which will itemize your costs and credits and closely estimate total monies due. At your request, your CalVet Loan originator can review the final documents and answer any questions you might have.
Signing Documents – The escrow agent will call you when the documents are ready to sign and appointments are available. The signing process requires both the buyer and seller to sign separate packages. The escrow agent should guide you smoothly through this process. You will receive copies of all the documents you sign from the escrow company.
You are almost done!
Funding – The escrow company will send your signed loan documents, along with any other outstanding loan condition documentation, back to CalVet Home Loans for a final review. Once all documentation is determined as being complete, CalVet will overnight a funding check to the escrow company.
Close of Escrow – Once the escrow company verifies receipt of the funds, they will arrange for all documents to transfer title to CalVet.
If you are ready to start the pre-approval process, apply now to start our online application or call me at 714-271-1422.
[This resource article was provided by CalVet.]
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