All Things Loans

Simplify the Mortgage Process with Affiliated

The 9 Steps to Get a Home Loan

The mortgage process doesn’t have to be difficult. With the guidance of our mortgage brokers, you’ll be able to navigate the mortgage process in a stress-free manner and get the house you want.

So just what does the mortgage process entail? We’ll demystify the process for you so there are no surprises on your route home ownership.

How To Refinance to Better Terms

The refinancing process doesn’t sound too difficult. You already have a mortgage, replacing it shouldn’t be that troublesome, right? When you work with our mortgage professionals we ensure your refinance process runs smoothly.

To better understand the refinance process take a look at our infographic that breaks down the process into nine simple steps.

We will Help You Find the Perfect Loan

Conventional Loans

In South Dakota and many states like Colorado, Wisconsin, Nebraska, Wyoming and North Dakota, loans come in two types – conforming and non-conforming. Frankly, this is the case nationwide. In order to fully understand the difference, you first must know a little bit about Fannie Mae and Freddie Mac.

Freddie Mac and Fannie Mae are the two government sponsored enterprises (GSEs) that provide liquidity in the mortgage market.

Technically speaking, a conventional loan is any mortgage that is not guaranteed or insured by the US government, such as VA, FHA and USDA.

Conventional mortgages include portfolio loans, construction loans, and even subprime loans. But again, whenever a lender refers to a “conventional loan” they are most likely referring to conforming mortgages that are eligible for purchase by Fannie Mae and Freddie Mac.

Property types include 1-4 unite properties, manufactured homes on their own land, condos, and town homes

In the United States, a conforming loan is a mortgage loan that conforms to GSE guidelines. In general, any loan which does not meet guidelines is a non-conforming loan. A loan which does not meet guidelines specifically because the loan amount exceeds the guideline limits is known as a jumbo loan.

Starting in 1970, Fannie Mae was authorized by the United States Government to purchase residential mortgage loans. Fannie Mae worked with Freddie Mac to develop uniform mortgage documents and national standards for what would come to be known as a conforming loan.

The Office of Federal Housing Enterprise Oversight (OFHEO) set the criteria on what constitutes a conforming loan limit that Fannie Mae and Freddie Mac can buy. Criteria include debt-to-income ratio limits and documentation requirements.

The maximum loan amount is set based on the October-to-October changes in median home price, above which a mortgage is considered a jumbo loan, and typically has higher rates associated with it. This is because both Fannie Mae and Freddie Mac only buy loans that are conforming, to repackage into the secondary market, making the demand for a non-conforming loan much less.

FHA Loans

FHA loans typically offer options for first-time home buyers, senior citizens and home improvements. One of the most difficult elements of the home buying process is saving up enough money for a down payment. If you are a first-time home buyer, an FHA loan may allow you to make a down payment of 3.5%. You may also be able to roll your closing costs and other fees into the loan amount.

Because FHA loans are insured, lenders can and do offer FHA loans at attractive interest rates and with more flexible qualification criteria. Many lenders can overlay their own requirements on top of the FHA guidelines. This makes FHA loans attractive for those with less than perfect credit. “We can look at the picture more closely,” adds Troy Trombetta of Affiliated Mortgage. “We don’t rely solely upon a credit score. Many borrowers elect a down payment of just 3.5% of the purchase price of the loan, which makes lending possible to a wider variety of applicants.”

If you are interested in a home that requires some improvements, there is an FHA loan to address your needs. An FHA we will check your creditworthiness and if you meet FHA standards, you will be approved for a loan that covers the cost of the property, plus home improvement costs and closing costs. You may also be able to get an FHA loan if you already own a home that needs some repairs and improvements. The loan will cover refinancing costs as well as the costs of making the necessary improvements.

If you are interested in getting an FHA loan, contact one of our knowledgeable Affiliated Mortgage FHA lenders today

VA Loans

VA Loans in South Dakota and Wyoming are made to fit the unique needs of Veterans, current military personnel, and in some cases, spouses of veterans or current military personnel.

A VA Mortgage differs to some degree from a standard mortgage.  While provided through Affiliated Mortgage, the loan is guaranteed in part by the Department of Veterans affairs.  Those eligible for VA loans can have little or even no down payment.

There are a few special considerations for a VA Loan: good credit and enough funds for payment are among them.  The expert staff and veterans with Affiliated Mortgage can help answer your questions and determine if a VA Loan is the right loan for you.

Contact one of our Affiliated Mortgage VA Loan officers today to see if a VA Loan is the right loan product for you.  We’re committed to serving our active duty military, their families, and all veterans.

USDA Loans

USDA Loans, commonly referred to as Rural Development loans provide borrows with a variety of attractive benefits if the subject property falls within the USDA RD Home Loan Footprint.  Don’t worry, our experienced lenders can help you determine if your new home qualifies for a USDA loan with a simple phone call.

USDA loans require no down payment and borrowers may finance up to 100% of the property value.  While these loans are attractive, you must meet income restrictions for the county in which your new home is located.  Each county has a maximum income requirement however the USDA Home Loan Program does allow for certain considerations.  One of the final primary criteria’s is that the property be an owner occupied property, investment properties are not eligible.

The USDA Home loan may be an attractive option for you and your family.  To determine if you (and your new home) qualify for this exciting opportunity, reach out to one of our highly experienced Affiliated Mortgage lenders.

Reverse Mortgages

If you are over the age of 62, you can tap into the equity that you have in your home.  By using a reverse mortgage, or a Home Equity Conversion Mortgage (HECM), you can see your monthly mortgage payments reduced, or eliminated all-together.

This specialized loan program lets you keep your home, afford your retirement, and ultimately live the lifestyle that you want to live.

If you qualify, you make a down payment of between 29% and 63% of the purchase price of the home.  The balance is covered by your reverse mortgage proceeds (excess proceeds can be used however you wish).  As long as you are alive, have paid the taxes, insurance, utilities, and maintenance costs on the home, you get to stay there.  The loan is repaid when the last surviving home owner no longer lives in the home.

The HECM is a great tool for many homeowners; get in touch today to see if it’s right for you.

The mortgage calculator below allows you to customize your mortgage by altering everything from purchase price to property tax so that you can make an informed decision regarding your home mortgage loan. With each mortgage factor taken into consideration, our calculator will give you a clear understanding of how each aspect of a mortgage affects the overall price.

Purchase price
Please enter here the amount you expect to pay for a home.
Enter a value
Down payment
Down payment is cash that you pay upfront for your home.
0.0%
Enter a value
Term in years
Number of years you have to pay.
years
Enter a value
Interest rate (per year)
The percentage of interest that you will pay on your mortgage for a specific term.
%
Enter a value
Property tax
Enter your property tax here if you know it.
per year
Enter a value
Home insurance
Most lenders require home insurance. Enter its price here.
per year
Enter a value
PMI
PMI is Private Mortgage Insurance which is usually required to pay if your Down payment less than 20%.
per month
Enter a value

Your total monthly payment


$

Principal & Interest
$
Home insurance
$
Property taxes
$
PMI
$

At Affiliated Mortgage we realize that sometimes our community needs help understanding the more complex calculations. To tackle the more daunting loan numbers, we offer you a free consultation where we calculate them for you. If for instance, you don’t know what a PMI calculation is, don’t worry: we got your back. Get a free 15 minute consultation now so we help you calculate your :

• Property tax
• Break even point
• Premium mortgage insurance (PMI)
• Home insurance

Loan application. Time est: 30 min
Get Pre Qualify
Get a pre approval. Time Est: 2-24 hours
Discover your best loan fit with your loan officer. Time Est: 30 minutes
1 Conventional
2 FHA Loans
3 VA loans
4 USDA Loans

Technically speaking, a conventional loan is any mortgage that is not guaranteed or insured by the US government, such as VA, FHA and USDA. Conventional mortgages include portfolio loans, construction loans, and even subprime loans. Property types include 1-4 unite properties, manufactured homes on their own land, condos, and town homes.

FHA loans typically offer options for first-time home buyers, senior citizens and home improvements. If you are a first-time home buyer, an FHA loan may allow you to make a down payment of 3.5% (ie. You don’t have to save up too much money for a down payment). Because FHA loans are insured, lenders can and do offer FHA loans at attractive interest rates and with more flexible qualification criteria. If you are interested in a home that requires some improvements, there is an FHA loan to address your needs.

VA Loans in South Dakota and Wyoming are made to fit the unique needs of Veterans, current military personnel, and in some cases, spouses of veterans or current military personnel. A VA Mortgage differs to some degree from a standard mortgage. While provided through Affiliated Mortgage, the loan is guaranteed in part by the Department of Veterans affairs. Those eligible for VA loans can have little or even no down payment. There are a few special considerations for a VA Loan: good credit and enough funds for payment are among them.

USDA Loans, commonly referred to as Rural Development loans provide borrows with a variety of attractive benefits if the subject property falls within the USDA RD Home Loan Footprint. USDA loans require no down payment and borrowers may finance up to 100% of the property value. While these loans are attractive, you must meet income restrictions for the county in which your new home is located. Each county has a maximum income requirement however the USDA Home Loan Program does allow for certain considerations. One of the final primary criteria’s is that the property be an owner occupied property, investment properties are not eligible.

Negotiate your future hoме. Time est: 2-5 days.

a- Find with help of your real estate agent the best-fit house for your needs and upon your choice, decide the terms you want to negotiate into your purchase contract. These may include: price, closing cost, and closing date.

b- Execute a contract: all parties sign the final contract to set the purchase in motion.

c- Deliver a fully executed purchase agreement to your loan officer.

Home inspection. Тime est. 48 hours

This is an optional step in which a home buyer can hire an independent inspector to view the home and make sure there aren’t any issues with the integrality of the home before fully committing to buy the house.

Documentation. Est time: 7 days.

a- Your loan officer prepares your loan documents for signatures.

b- A full loan package is submitted for processing.

Appraisal (2 Weeks).

A licensed appraiser will conduct a review of your new home’s value, make sure that there is sufficient collateral to support the mortgage and that the house is in adequate condition for the loan

Processing Time est: 5 days.

Affiliated mortgage’s processing team will double-check your documents and make sure your file is complete. At this time a conditional loan approval is issued.

Clear To Close Time Est: 3 days

a- The title company and Affiliated Mortgage will collect all the invoices for the services provided during the loan process.

b- The title company will coordinate a time to meet with the new home owner, your loan officer, and realtors to execute the final mortgage and pertaining documents.

c- The title company then takes the money funded by Affiliated Mortgage and pays out all outstanding balances. Then, the title company gives the homeowner a clear title to their new home.

CONGRATULATIONS! YOU ARE A HOMEOWNER
Refinance application Time est: 30 min
Get Pre Qualify
Get a pre approval. Time Est: 2-24 hours
Discover your best loan fit with your loan officer. Time Est: 30 minutes
1 Conventional
2 FHA Loans
3 VA loans
4 USDA Loans

Technically speaking, a conventional loan is any mortgage that is not guaranteed or insured by the US government, such as VA, FHA and USDA. Conventional loans offer 2 main refinance types: rate and term refinance and cash out refinance. The rate and term refinance is designed to rewrite a new mortgage at an amount to pay off the existing loan and enough to pay closing costs if desired to add them in. Normally the client will take advantage of lower rates or a shorter-term mortgage with this type of loan. In a cash out refinance the client will be looking to access some of the equity in the property. The equity is commonly used to debt consolidation, buy additional properties, investments, gifts to family members, or whatever reason the clients needs access to equity.

FHA loans typically offer options clients with less than perfect credit situations, higher debt to income ratios or need access to more equity in the home than what a conventional loan would offer. If you are looking to just rewrite the mortgage you have at a lower rate, FHA allows you to do this with very little equity in the property (ie. You don’t need to have much equity in the house to qualify for a mortgage). Because FHA loans are insured, lenders can and do offer FHA loans at attractive interest rates and with more flexible qualification criteria. If you are interested in refinancing a home that requires some improvements, there is an FHA loan to address your needs.

VA Loans in South Dakota and Wyoming (why are we mentioning these states?) are made to fit the unique needs of Veterans, current military personnel, and in some cases, spouses of veterans or current military personnel. A VA Mortgage differs to some degree from a standard mortgage. While provided through Affiliated Mortgage, the loan is guaranteed in part by the Department of Veterans affairs. Those eligible for VA loans for a refinance have access to more lending power than any other program. VA is unique as they allow the borrower to rewrite their mortgage note up to 100% of the new appraised value. This give this loan substantial advantages to help clients access equity in the property. VA also offers an Interest Rate Reduction Loan Option also referred to as an IRRL or streamline refinance. This loan is designed to rewrite an existing VA loan at a lower rate or at a lower term (from a 30 year to a 15 year note). This loan is normally accomplished with little documentation and doesn’t require an appraisal. . There are a few special considerations for a VA Loan: good credit and enough funds for payment are among them.

USDA Loans, commonly referred to as Rural Development loans have refinance options to rewrite an existing RD loan into a new RD loan. This is another option for a streamline refinance. properties are not eligible.

Documentation. Est time: 7 days.

a- Your loan officer prepares your loan documents for signatures.

b- A full loan package is submitted for processing.

Appraisal (2 Weeks).

A licensed appraiser will conduct a review of your new home’s value, make sure that there is sufficient collateral to support the mortgage and that the house is in adequate condition for the loan

Processing Time est: 5 days.

Affiliated mortgage’s processing team will double-check your documents and make sure your file is complete. At this time a conditional loan approval is issued.

underwriting (2 Weeks).

a- An underwriter at Affiliated Mortgage will confirm all documents provided satisfy loan requirements.

b- The underwriting may request additional documentation.

c- The underwriter will issue an approval, allowing the loan to close.

Clear To Close Time Est: 3 days

a- The title company and Affiliated Mortgage will collect all the invoices for the services provided during the refinance process.

b- The title company then takes the money funded by Affiliated Mortgage and pays out all outstanding balances. The title company will get a payoff for any mortgages getting paid off from the new mortgage and make sure they get satisfied.

CONGRATULATIONS! YOU ARE A HOMEOWNER

Work with Affiliated Mortgage to obtain the best financial results and move intro your dream home before you know it.

Fast Pre-Approval

Get pre-approved without leaving the comfort of your home when you begin the mortgage process with the assistance of an online application.

BUY A HOMEREFINANCE

Start the mortgage process, don’t worry about a thing. We’ve got you covered.

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