F.A.Q. - MORTGAGE INFORMATION AND FREQUENTLY ASKED QUESTIONS
Contact CalSun Mortgage for a no obligation consultation. We will gladly assist you with all your questions and concerns.Our mission is to provide the best rates and service for each and every client!
1. What types of loans do you do?
We do primarily residential, 1- 4 units, real estate loans/mortgages.
2. What is the definition of a Loan Officer?
A Loan Officer is a person who does the following:
a) explains and educates you about mortgages,
b) per-qualifies you for the loan,
c) takes you loan application,
d) finds a suitable loan program for you,
e) serves as liaison between you and other individuals or companies involved in your loan transaction.
The Loan Officer's position is always handled by an individual who could be employed by a Mortgage Broker, Mortgage Lender or Bank acting as a Mortgage Lender. The Loan Officer is your prime contact and is a very important person in your loan transaction. Loan Officer must be licensed as Mortgage Loan Originator, please see Paragraph #7 down below.
3. Who is a Mortgage Broker?
A Mortgage Broker, or rather a Mortgage Brokerage is a type of mortgage business. Individuals and companies could be a Mortgage Broker. Because of the variety of different functions a Mortgage Broker usually employs number of people to perform those functions. A Mortgage Broker takes your loan application, processes it, prepares the loan package for the lender and sends it to the lender for approval and funding.
4. Who is a Mortgage Lender?
Mortgage Lenders perform the same functions as the Mortgage Brokers. Also, Mortgage Lenders, such as banks, credit unions and mortgage companies, are the decision makers on loan approvals and have their own funds to fund those loans directly.
5. What about banks?
Banks usually act as the Mortgage Lender, originate, approve and fund the mortgage loans.
Because of the red tape and the size of Mortgage Lenders' companies, experienced Mortgage Broker may be much more helpful and successful in providing mortgage services to its clients.
6. Who is a Mortgage Loan Originator?
A Mortgage Loan Originator (MLO) is the term used by federal government. Mortgage companies along with the Loan Officers, employed by them, must posses MLO license. please see Paragraph #7 next. The individual, Loan Officer, is the one who signs the initial loan application on behalf of the company and performs the functions which are described above in Paragraph #2.
7. Do Mortgage Professionals have to be licensed?
Yes, all Loan Officers, Mortgage Companies, Mortgage Brokers, and Mortgage Lenders must be licensed in the State of California either by the Department of Real Estate or the Department of Corporations. In addition beginning January 1st, 2010, in compliance with new federal regulations, all of the companies and individuals, including Loan Officers working for banks, must have a NMLS, Mortgage Loan Originator, number. This number should be disclosed on the loan application and disclosures. NMLS stands for "National Mortgage Licensing System", this is the agency which registers all residential Mortgage Loan Originators, Loan Officers nationwide. Supervised depository institutions, such as the banks, are the exempt from this type of licensing.
8. Who do I choose… or better yet, how do I choose?
The keys to answering your question are to work with someone who can provide you with the best interest rates and service. All that matters is that the Mortgage Broker, or Lender, or Bank/Lender, has experienced, responsible employees who have successfully helped others in your situation. Ideally, it is best to work with a company like CalSun Mortgage, which has a Principal/Mortgage Loan Originator acting as a Mortgage Broker and Lender and helping his clients since 1986.
9. Can you analyze my financial situation in order pre-qualify me for the loan?
Yes, as an essential part of your pre-qualification process we always perform this type of analysis.
10. Are you going to assist me with evaluating of the value of my property, or property I'm trying to buy?
Yes, this is the very first part of your per-qualification process for the loan.
11. Are you going to run my credit report for a per-qualification?
It depends on different factors but we will always ask you for your approval before we run credit.
12. How much money can I borrow, and how much my monthly payments will be?
As a part of your per-qualification we'll tell how much money, the loan amount, you can afford what your monthly payments will be according to the rate on the day of your per-qualification. Please keep in mind that your rate is not guaranteed until it is locked
13. How do you operate your company, do you have enough experienced staff to process my loan?
Yes, our operations, processing and underwriting are run by a DE (Direct Endorsement) HUD/FHA Underwriter with 12 years experience in the mortgage business. Our employees utilize a combination of a great deal of experience, expertise and technology to successfully originate, process and fund hundreds and hundreds of the mortgages with various mortgage lenders.
14. Where is the mortgage loan processed?
The entire processing of your loan is done in our office.
15. How long does the entire processing of my loan take?
All loans vary depending on complexity but usually your loan will close and be funded, especially if it is a purchase, within 3-4 weeks and we per-qualified you upfront. However, it may take longer to close if you applied for a loan with someone else, and are coming to us from another mortgage company.
16. Is my loan processed in compliance with all applicable laws, rules and regulations?
Yes, at all the times. We are licensed professionals, our license is very precious to us and we are constantly observing and following to any new laws, rules and regulations.
17. Do you give me an estimate of my loan costs, interest rate and monthly payments?
Yes, your only upfront cost is the cost of a Credit Report which runs $38.00 or less. According to a new RESPA federal regulation that was implemented on January 1st, 2010, any mortgage company, including Banks, must provide their residential mortgage applicants within a Good Faith Estimate (GFE) within 3 days from the loan application date. This form will reflect the terms and the closing costs of your loan in detail. We will provide you with all necessary explanations about this form. You will pay for the appraisal after you accept our Good Faith Estimate and you decide to proceed with your loan transaction.
18. Are you going to help me to save money? Do I have to shop for the rate?
Yes we focus on getting you the best interest rate with the lowest out of pocket cost as part of our service to you. Just go to our website, www.calsunmortgage.com as we update market rates every day and we compare our rates to 5 major banks so you can see how working with CalSun Mortgage can save you money.
19. Can you lock my rate?
Yes. We can lock you rate, usually for 30 or 15 days. We do it upon the approval of the loan, and you will get it in writing via a new Good Faith Estimate reflecting that lock.
20. Can you extend my lock?
Yes, but you will probably have to pay a small extension fee.
21. How often I can contact you, and are the latest updates on loan processing available?
Normally we're open from 9 AM to 5 Pm, lunch 12-1. We will walk you through entire process of your loan from the loan application to the closing. You will get updates about your loan at every single step of the processing until the closing of your transaction. We will communicate with you via the phone and/or e-mail.
22. Do you stay in touch with my real estate agent, closing agent and others involved in the transaction?
Yes. We never sit and wait until someone contacts us. We always make a first call and stay on it until the matter is resolved.
23. Why do I have to trust you, how are you better than any other mortgage company or bank?
We have experience, expertise and abilities to provide you with the lowest interest rates, low or no cost loans and our outstanding service. We treat your loan as our own and work closely with you. At all times we are upfront with you and if there is a problem we will bring it to your attention right away and work with you to solve it. We return your e-mails and calls promptly and deliver what we promise.
*If you have a question that is not listed above, or you have a concern or merely a comment, please do not hesitate to contact us.