Mortgage Help   Mortgage Rates Real Estate Credit Foreclosure Tax Mortgage Rates  Mortgage Basics Chapter 1: How much house can you afford? Homeownership Should You Buy or Rent Summary   Chapter 2: Adjustable-rate mortgages ARM and a fixed-rate mortgage Fixed-rate mortgages Understanding the key elements Which type of lender is right for you? Other types of mortgages Subprime Summary   Chapter 3: Your credit score Down Payment How lenders set rates Low down payments Mortgage insurance Your mortgage payment Mortgage Points Summary   Chapter 4: The good faith estimate Inspection and Insurance Necessary paperwork for a buyer Other lender paperwork Paperwork and fees Prequalification and preapproval Special circumstances Summary   Chapter 5: Ten questions to ask Turned down for a mortgage Underwriting What lenders ask Summary   Chapter 6:  Understanding the closing process Escrow Summary   Chapter 7: When your mortgage is sold Avoiding foreclosure Paying ahead Payment changes Refinancing Removing mortgage insurance Summary Underwriting Once your mortgage has been approved, you start moving towards the closing date. There is still a lot to do, and most of it occurs without you. You can help speed things up by helping in a few practical ways: " Make sure you provide the complete documentation, including proper property description, along with your application. " You should respond promptly to any requests for more information. " You should call and check with both your lender and real estate agent to check on the loan application and closing status. " You can help by contacting employers and others who need to provide documentation to the lender. You should keep a record of your conversations with your lender, agent and other parties involved in the transaction. While you are waiting for closing date, there is a lot going on, including: The underwriting verification The lender's team of underwriters are busing verifying the information on your mortgage application and supporting documents. They will call your employer to verify your job status and salary. How deep they check you out depends on how risky your lender perceives you to be. The appraisal of the property Your lender will require an independent appraisal by a professional appraiser before the closing. The outcome could change the rate and terms of your mortgage. When you first applied for your mortgage, the lender assumes that the purchase price is the accurate value of the property. This is simply the verification of the property value. The work is completed by a licensed appraiser who estimates the value of the property based on a physical inspection and a sample of the comparable prices for the properties recently sold in the area. The cost of the appraisal will run between $300 and $500. The title search and title insurance Your lender won't lend you money to buy a home that another lender or person has a claim to or lien against. A title company will perform a title search to make sure that there are no clouds over the title. The company will research the history of the property at the county courthouse. They will be specifically looking for mortgages, claims, liens, easement rights, zoning ordinances, pending legal actions, unpaid property taxes and restrictive covenants. The title insurer will issue a policy that guarantees the accuracy of the title search. Your lender will require a policy that protects the lender. In some cases, two policies are issued, one for the lender and one for the property owner. The flood certification Lenders don't like to lend on properties in flood zones. If they feel the property is at risk, they will hire a vendor to analyze the property and neighboring sites to determine if it is in a flood zone. This is called a flood certification. If the property is in a flood zone, you will be required to buy flood insurance. Most standard homeowners' policies do not cover flood water damages. The property survey Some lenders require that a home's property lines be verified by a professional survey. This ensures that the stated land is really there.