The first step in qualifying for a Fremont Bank mortgage loan is prequalification, in which prospective borrowers submit basic information about their financial status to the bank, states Fremont Bank. Then, the bank conducts a free analysis of this information, including income, assets and debt, to estimate how much potential applicants may be able to borrow. This step doesn't include a credit check. The next step is preapproval, which requires a mortgage application, a credit check and financial documentation.Continue Reading
After receiving the mortgage application and required documents, Fremont Bank conducts a comprehensive review of the applicant's financial history. This helps the bank determine the specific loan amount and interest rate the person is eligible for, notes Fremont Bank. After this, the applicant can start looking for a home whose price doesn't exceed the preapproved loan amount.
Home buyers with preapproval mortgage loan status are better positioned to make offers on homes and make a preliminary deal with a home seller, states Fremont Bank. However, successful preapproval doesn't mean a mortgage loan is guaranteed. Before giving its final approval on a home mortgage loan, Fremont Bank must conduct a full property appraisal and title search. In addition, the bank performs another credit check and must verify additional information.Learn more about Credit & Lending