Elroy Loan Application Demo OLD

0:00 Hi, this is Teresa. I am going to walk through a loan application on our website.

0:05 This borrower created an account and has gotten a pre-approval.

0:09 The pre-approval box is checked off and this is what my home page looks like.

0:13 If I want to apply for a loan, I could go to loan options first here and I can look through my loan options. I can change the terms and I can click lock this loan. That will bring me to the application process. 

0:35 Let’s say I don’t want to look at the options first. I can go to loan application. Basically we just need to fill out all of these steps here.

0:41 We have some basic information because I filled out a pre-approval. But if I didn’t, we wouldn’t have much information here at all.

0:51 Some of the buttons in this form will trigger other boxes. So if there’s no Homeowners Association, we don’t ask for fees. If there is, it’ll ask for fees.

1:06 You can add a co-borrower at this point if you haven’t already. To fill in “Whose names will be on title”, they can just type their name. They can add another name for their co borrower or they don’t even have to be on the loan. It could be their spouse who wants to be on the property but not on the loan. You can add as many names as you want.

1:25 “How will you hold title together?” Usually the answer is “joint tenants”.

1:29 “Do you have an accepted offer?” If No is selected, this warning pops up. “We don’t usually lock rates without an accepted offer.”

1:36 Exceptions can be made. Just talk to your PSM if you want to make an exception.

1:42 EMD: If they have a deposit, they should put it here.

1:50 “Do you have a purchase contract?” If you select “yes”, you can upload it right here.

1:54 This is always recommended if they have it. If not, they can continue.

1:59 “Are you working with a real estate agent?” If they select “Yes”, they can provide the contact for their real estate agent. This is helpful for us and for you,since you can see the information later. They can also select “I’ll provide information later.” They don’t need to type it in now.

2:16 So some of this information is saved from my pre-approval. They can add more.

2:22 You can un-select any of these if you don’t want to use them for the transaction income.

2:28 It’s always going to ask for more information about the income at this point because we didn’t collect everything in the pre-approval.

2:35 Usually we just need addresses and phone numbers. Phone numbers are important because later on in the process, the underwriter or somebody at the lender will call their employer and make sure they still work there. So this must be a number that someone will actually pick up.

3:11 Now the error is gone and we can move on. The credit is fine, if there’s mortgages here, they could exclude or include.

3:22 This is a section where they have to add all homes they own, all homes they rent and everywhere they’ve lived will fill in here. We need a record of where you lived for the last two years as your primary. If you own any rental properties or any secondary properties, those all need to be entered here. We need to know the addresses for all of them.

3:44 If you’ve entered rental income, it can connect to the homes here.

3:47 I will add rental income to show you that the current or expected, let’s say expected. They currently live in this home. They’re buying a new one, they’re moving to the new home and they’re going to rent out their current home. So they don’t have a lease yet.

4:04 They’re going to start in two weeks and they’re gonna make $1,500 from rent.

4:13 Now I’m going back to homes, let’s add a home that I own. This is a home that let’s say I live in right now. We’re going to retain it currently.

4:24 It is primary. After this transaction it’s going to be investment because I’m going to rent it out.

4:40 “Do I have a mortgage?” No, I don’t have a mortgage.

4:44 If I did mortgages would pop up here from the credit report and you could select which mortgage goes with this home monthly income.

4:56 We’re going to use the income already typed in and I can select it here. So we have the $1,500 income. Principal and interest is zero because there’s no loan, property tax is $400 a month.

5:08 These are all monthly. Mortgage insurance, let’s say I don’t have any.

5:19 It’s taking my monthly income minus expenses and the net is $1,000. We’re done adding that home.

5:32 So I own this home. Before that let’s say I rented, you’re going to add previous lease.

5:48 “Did you pay rent?” If no, that would be similar to if you lived with family and you didn’t pay them any rent and this is zero.

6:04 So this is the timeline of everywhere I’ve lived as my primary in the past few years. If we’re missing any data here, it’s going to tell me I need to add more history.

6:14 If they overlap, it’ll ask you to resolve it and you can just remove one of them as your primary. It’s assuming that you only have one primary at all times.

6:24 Now we’re in the about you section. These are simple questions. You need to let us know your citizen status, education, etc. These are Fannie Mae questions for the 1003 application.

6:37 “How many dependents” if you enter them, you can enter their ages.

6:42 This is a requirement on the application as well.

6:48 These disclosures are not required. They can select no, but if they select yes, they can answer.

6:58 This will all fill into the Fannie file as well.

7:00 “Do you own a home today?” Yes, I listed that I have a home. So I’m going to change that.

7:06 “Have you completed home ownership education”, let’s say no. “Have you completed any housing counseling?” No, I haven’t taken any classes.

7:16 The error message went away. There was just a little glitch there.

7:19 These are automatically populated to be “No.” These are disclosure questions. If any of these are yes, there may be an issue with the application later on. So if you have a lawsuit, judgments, bankruptcy, if any of these are yes, this box will come up, but we may need to look into it further.

7:40 If anything, these are actually yes, but they should read through them and make sure that their answer is correct. There’s no issue with being an endorser or paying a only child support. 

8:00 if they went to the loan options page first before coming to the application, the loan that they selected should be here. I have not selected a loan yet so I can go through here and select a loan if I don’t like the one that’s popping up here.

8:10 I can go to more loan options. This is the interactive quote.

8:13 We can go through a 20 year, 15 year, there’s adjustable rates, (we don’t use these too much right now). So 30 year fixed, I’m looking at all my fees here.

8:25 I could select “less at closing.” I could change my down payment here, and change the loan terms, and some products. Say I don’t want any FHA because I know my seller doesn’t accept that. I can exclude it.

8:45 I can see this one’s conforming. It’s fixed.

8:49 I can see total cash to close estimate.

8:52 These are all estimates.

8:54 The EMD deposit is here. The seller credits are here.

8:57 Everything should be factored in.

9:00 I’m gonna click lock this loan. This takes me back to the loan page.

9:08 A loan is selected, you can make a change, you can select, make changes and pick a new loan if you want.

9:14 Normally I can click continue, but I think it’s because I am missing some data here.

9:21 “Your closing date falls on a weekend.” We can’t close on a weekend, so it’s re recommending that I enter 9/29.

9:33 Now everything in here is checked and I can click this button.

9:39 This should be the main indicator of if anything is missing.

9:43 On the final page, once we click request to lock, if we’re outside of business hours, it could take a few days. Rates could change if this is during business hours, rates could still be up in the air.

9:56 They do change during the day sometimes. But just keep in mind this is a request to lock, this doesn’t automatically lock the rate.

10:09 So now we have “lock request received.”

10:11 They’re going to be placed into the closing tracker. They’re going to use this for the rest of their transaction.

10:17 The closing tracker has upload spots for bank statements, EMD.

10:25 It’s going to ask for tax returns, business returns since they’re self-employed.

10:32 This is everything they’re going to need to provide to us.

10:34 The next thing they should be working on is uploading their documents. While we do usually lock rates after an application, if you have a client who wants to apply, but they want to float their rate, we can do that.

10:49 They would just follow the same steps here and let your PSM know as soon as they apply that you want to float the rate and we won’t lock it.

10:58 That’s the general application.

11:00 They can go to the home page from here.

11:03 They can still change their property address but they can no longer change the loan options or pre approval.

11:09 The main tab here would be loan application.

11:12 You will get an alert once your client applies and you’ll get an alert once the loan has been locked, if they want to apply for a loan that is not built into our system right now, they can follow all of these steps to fill out all of these tabs except for the loan tab and review and lock, they can fill out these three and then we will be able to send it over to the right place and that’s everything on applying.