27
Jun
By Fred Gruber
Mortgage

From Pre-Approval to Closing What to Expect in the Mortgage Journey

June is National Homeownership Month, making it the perfect time to understand the full path to homeownership. If you are planning to buy a home, especially for the first time, knowing what to expect during the mortgage process can take away much of the stress. This guide walks you through each step and highlights how working with the right mortgage professional keeps everything on track.

Step One: Pre-Approval
The first and most important step in your mortgage journey is pre-approval. This is where a lender reviews your income, credit, debt, and assets to determine how much home you can afford. You will provide documents like pay stubs, W-2s, tax returns, and bank statements. A pre-approval gives you a clear budget and shows sellers that you are a serious buyer.

Getting pre-approved during National Homeownership Month is a smart move. It sets you up to take advantage of the busy summer buying season when more homes are available and families want to move before the school year starts.

Step Two: House Hunting and Making an Offer
Once you are pre-approved, you can confidently shop for a home. With your budget in hand, you and your real estate agent can focus on properties that meet your needs and price range. When you find the right one, your agent will help you make an offer.

A strong offer backed by a pre-approval letter shows sellers that you are ready and able to purchase. This can be a deciding factor in competitive markets.

Step Three: Loan Processing and Underwriting
After your offer is accepted, you officially begin the mortgage loan process. Your lender will gather more documentation and begin verifying all the details. This part of the journey includes ordering the home appraisal and reviewing your financial file in depth.

The underwriter is the key decision-maker in this stage. They assess your risk level and decide whether to approve the loan. This step can feel slow or stressful, but as your mortgage originator, I help keep the process moving by staying in close contact with both you and the lender.

Step Four: Loan Approval and Closing Preparation
Once the underwriter approves your loan, you are almost there. You will receive a closing disclosure with your final loan terms and costs. You will need to review and acknowledge this document at least three business days before closing.

During National Homeownership Month, this is the moment when buyers start to see the finish line. It is also when I double-check that all documents are accurate and that nothing is missing before you sign.

Step Five: Closing Day
Closing is the final step. You will sign your loan documents, pay your closing costs and down payment, and finally get the keys to your new home. This is the most exciting moment in the entire journey and one worth celebrating.

By knowing what to expect and working with a trusted mortgage professional, you can turn a stressful process into a rewarding milestone. National Homeownership Month is a great reminder that preparation and expert support make all the difference in achieving your homeownership goals.

26
Jun
By Fred Gruber
Mortgage

How HomeReady and Home Possible Mortgages Open Doors During National Homeownership Month

June is National Homeownership Month, a time to spotlight the programs that make owning a home more accessible to more people. While many potential buyers believe they need perfect credit or a large down payment, programs like HomeReady® and Home Possible® prove otherwise. As a mortgage originator, I see firsthand how these affordable loan options can turn homeownership from a dream into a reality.

Understanding HomeReady and Home Possible
HomeReady® is offered by Fannie Mae and is designed for low-to-moderate-income borrowers. Home Possible®, offered through Freddie Mac, serves a similar purpose. These programs are especially powerful for first-time buyers, younger households, and families who may be living in high-cost or underserved communities.

The goal of both programs is simple: to help more people qualify for financing by providing flexible credit guidelines, low down payment options, and reduced mortgage insurance requirements.

Why They Matter This Month
National Homeownership Month is about increasing access to homeownership and helping people understand what’s available to them. That is exactly where HomeReady and Home Possible shine. These programs provide solutions for buyers who are ready to take the next step but may not meet the strict requirements of a conventional mortgage.

By highlighting these programs during National Homeownership Month, we can help more families understand that a lower income or smaller savings account does not have to be a barrier.

What Sets These Programs Apart
Both HomeReady and Home Possible offer:

  • Down payments as low as 3 percent
  • The ability to use co-borrower income (even if they do not live in the home)
  • Credit flexibility including consideration for non-traditional credit
  • Reduced private mortgage insurance (PMI)
  • Homebuyer education courses to prepare borrowers for success

These features make a big difference for buyers who are financially responsible but may not fit into a one-size-fits-all mortgage box.

Real-Life Impact
I have worked with buyers who thought they needed years to save for a down payment or that their moderate income would prevent them from qualifying. With HomeReady or Home Possible, those same clients were able to purchase homes much sooner than they expected. That impact is life-changing, especially for families trying to build roots and financial stability.

The Power of Smart Guidance
The key is knowing which program is the best fit and how to use it strategically. That is where a knowledgeable mortgage originator comes in. During National Homeownership Month, I encourage buyers to reach out, ask questions, and find out what might be possible for them today, not someday.

Homeownership builds equity, provides stability, and creates opportunity. Thanks to HomeReady and Home Possible, more people can experience those benefits and take that first step toward long-term financial growth.

25
Jun
By Fred Gruber
Mortgage Tips

How Homeownership Builds Generational Wealth – A Message for National Homeownership Month

June is National Homeownership Month, a time to celebrate the lasting impact that owning a home can have on individuals and families. One of the most powerful benefits of homeownership is the ability to build equity. As you make mortgage payments, you are gradually increasing your ownership stake in the property. This equity becomes a form of forced savings and can be used in the future for things like education, home improvements, or retirement. Unlike rent, which builds no future value, mortgage payments create wealth over time.

Appreciation Adds Long-Term Value
In addition to building equity, homes tend to increase in value over time. While housing markets may experience short-term fluctuations, real estate has historically appreciated over the long run. That increase in value can significantly boost your net worth. When it is time to sell or refinance, the appreciation can turn into real dollars that provide financial flexibility and long-term opportunity.

Leverage and Financial Growth
When you buy a home, you are leveraging a relatively small amount of money to purchase a much larger asset. For example, with a small down payment, you are able to control the full value of the property. As that property appreciates, your return is based on the full value of the home, not just your initial investment. This kind of financial leverage is a major reason why homeownership is such an effective wealth-building tool compared to renting.

A Legacy for the Next Generation
Homeownership is also a way to create financial security for future generations. Passing down a home to children or grandchildren can provide them with a strong start in life. Even if you choose to sell the home later, the equity gained can help fund education, support a family business, or assist with a loved one’s home purchase. That ability to pass on value is what turns homeownership into a legacy.

More Than Just Money
Beyond the financial benefits, owning a home brings stability and a deep sense of pride. It creates consistency in family life, helps children remain in the same schools, and fosters a sense of belonging in the community. These emotional benefits reinforce the lasting value of homeownership and make it more than just a financial milestone.

Celebrate with Purpose
National Homeownership Month is the perfect time to reflect on the bigger picture. Homeownership is not just about the keys in your hand today. It is about what those keys unlock for your family’s future. If you are considering buying a home, now is the time to learn more about your options and start planning for a future that benefits you and those who come after you.