Mortgage Loan Process
Knowing the mortgage process ahead of time helps you feel in control and avoid surprises. Below is the typical step-by-step loan process for buying a home or refinancing in Texas. Exact steps and timing can vary by loan program, lender requirements, and the property.
Apply Now • 📞 Phone & Text: 713-955-4685 • ✉️ info@libertyhomemortgage.com • 🌐 www.libertyhomemortgage.com
Step 1: Pre-Qualification
Pre-qualification happens before the full loan process starts. You share basic information about your income, debts, and goals. Based on what you provide, we help you estimate a price range and payment range to consider.
Pre-qualification is helpful if you are:
• Thinking about buying and want an estimated budget before shopping
• Considering a refinance and want to see if it may make sense for your goals
Step 2: Application
The application is where the loan officially starts. This can happen after you find a home to buy, or when you decide to refinance your current mortgage. You complete a mortgage application and provide documentation needed for processing.
At this stage, we review key items like:
• Loan program options and basic eligibility
• Estimated fees and funds needed to close (program dependent)
• Disclosures and required documents based on the loan type
For most mortgage loans, lenders provide formal disclosures early in the process that outline important terms, estimated costs, and your rights as a consumer.
Step 3: Processing
Processing is the “gather and verify” stage. A processor reviews your documentation and orders third-party items that may be required, such as an appraisal and title work (when applicable).
During processing, the lender typically:
• Reviews your credit report and liabilities
• Verifies income and employment (or alternative documentation, when applicable)
• Reviews bank statements and assets (if required)
• Orders an appraisal for the property (unless a program does not require one)
• Reviews title information and property details
If anything needs clarification (for example, credit inquiries, deposits, or past payment issues), you may be asked for a short written explanation or additional documentation.
Step 4: Underwriting
Underwriting is where the lender’s underwriter reviews the complete file to confirm it meets program guidelines and lender requirements. If the underwriter needs more information, they may issue “conditions” that must be satisfied before final approval.
Common underwriting conditions may relate to:
• Income calculation or documentation
• Credit history questions or updated items
• Assets and funds to close
• Property appraisal or property-related documentation
• Title requirements
Once conditions are cleared, the lender can issue a clear-to-close or final approval, depending on the lender’s process.
Step 5: Closing
Closing happens after the lender has issued final approval and all required conditions are cleared. Closing procedures vary by state and transaction type. In many cases, a title company or closing agent coordinates signing, funding, and final documents.
At closing, you typically:
• Review and sign final loan documents
• Provide any required funds (if applicable) by approved method
• Receive final disclosures showing the exact terms and closing costs
• Complete the purchase or refinance transaction after funding, based on lender and title requirements
Want a Simple Checklist?
If you tell us your goal (purchase, refinance, cash-out, HELOC, or investment), we will provide a simple checklist of what is needed to get started and explain the steps clearly.
📞 Phone & Text: 713-955-4685
✉️ info@libertyhomemortgage.com
🌐 www.libertyhomemortgage.com
Apply Now
Equal Housing Lender 🏠⚖️
Company NMLS: 321164 • Aslam Mansoor NMLS: 184238
Liberty Home Mortgage • 4400 State Hwy 121 STE 300 • Lewisville, TX 75056
All loans are subject to underwriting approval and credit review. Some restrictions may apply. Programs, rates, and terms are subject to change without notice.