Overview of the Mortgage Application Process in Washington State

Published:
October 11, 2017
Last updated:
February 26, 2021
In This Article

How does the mortgage application process work in Washington State? What steps do I go through when applying for home loan in Washington? What kind of paperwork will I need to submit?

These are some of the most common questions among home buyers. And we have your answers! Below, we have compiled some of the most frequently asked questions relating to the mortgage application process in Washington State.

1. How does the mortgage application process work in Washington?

When you apply for a home loan Washington, you will be asked to complete a standard mortgage application form. The full title for this eight-page document is the “Uniform Residential Loan Application” (URLA), or Fannie Mae form 1003.

The mortgage application form asks for a variety of information, including:

  • Current and previous addresses
  • Places of employment
  • Type of loan being used
  • Borrower’s income, assets and liabilities

(You can view a sample application online, by doing a Google search for the title mentioned above.)

Once you have submitted an application, you will have to provide a variety of additional documents as well. And that leads us to the next FAQ relating for the mortgage application process in Washington.

2. What kind of documents do I need when applying for a home loan?

When you apply for a mortgage loan in Washington State (or anywhere else for that matter) you will likely have to provide some additional documents. Most of these documents relate to your financial situation – your income, debts, assets, etc.

At a minimum, you will probably have to provide:

  • Recent bank statements
  • W-2 forms for the last couple of years
  • Tax returns for the last couple of years
  • Pay stubs and employment letters

We can provide you with a complete list of required documents if you’re actually ready to start the mortgage application process in Washington. Please contact us with any questions you have.

3. What happens after I apply for financing?

In Washington State, most people who apply for a mortgage loan to buy a house get pre-approved first, before house hunting. We’ve covered mortgage pre-approval in depth in a separate blog post, if you’d like to learn more about it.

Pre-approval is a kind of financial pre-screening process, during which the mortgage company will review your income, assets and debts to determine how much you are able to borrow.

This step happens early on in the mortgage process, and for good reason. By getting pre-approved before shopping for a home, you will be able to narrow your search to the kinds of properties you can afford (based on your financing limits).

Additionally, you might have an easier time getting your offer accepted by the seller, since you’ve been screened by a mortgage lender already.

4. What happens between the application and closing?

The mortgage application process in Washington can vary slightly from one borrower to the next. In most cases, however, it works like this:

  • The home buyers get pre-approved for a loan and then start shopping for a house.
  • They find a home that meets their needs and make an offer to purchase it.
  • The seller accepts their offer, maybe after some negotiations.
  • The buyers then go back to the mortgage lender with a signed purchase agreement.
  • The lender orders a home appraisal to determine the value of the property.
  • The loan moves into the underwriting stage, which is a more intensive review process.

If everything checks out, the home buyers can proceed to closing, sign their paperwork, and get the keys to their new house. Here’s a related article that covers the home buying process in Washington.

5. What can I do right now to prepare for this process?

It’s wise to get a budget on paper, before you start shopping for a home. It doesn’t have to be anything fancy – just a basic breakdown of your current income and monthly expenses. This will help you determine how much of a monthly housing payment you can afford.

You could also start rounding up some of the documents mentioned earlier.

We encourage home buyers to do plenty of research as well, so they can have a better understanding of the local real estate market, financing options, etc. You’ll find a wealth of information on our blog relating to these and other topics. And when you’re ready, give us a call or send us an email.

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Ready to Apply For a Mortgage in WA State?

Do you have questions about home loans? Are you ready to apply for a mortgage to buy a home? If so, Sammamish Mortgage can help. We are a local mortgage company from Bellevue, Washington serving the entire state, as well as Oregon, Idaho, and Colorado. We offer many mortgage programs to buyers all over the Pacific Northwest. Contact us today with any questions you have about mortgages.

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