FAQs

PURCHASE LOANS: 

Q:Is there someone who will work with my Realtor?
A:Yes, your Loan Officer at Foothill Home Mortgage works with your Realtor until close of escrow to coordinate a smooth escrow for you.

LOAN FEES:

Q:Is there a cost to apply?
A:No.  However, if a credit report is required to determine your credit worthiness, a fee will be collected from you at that time.

Q:Is an impound account required?
A:Typically, an impound account for the collection of your monthly property taxes and homeowner’s hazard insurance if only required if you have less than a 20% down payment.  The exception is for FHA and VA loans.  These loans always require an impound account.

LOCKING YOUR INTEREST RATE:

Q:What is my loan rate and when is it confirmed?
A:Interest rates fluctuate daily and often throughout the day. Rates available at the time you apply for your loan may be different than the rates available when you decide to lock your interest rate.  Once you lock your loan, the rate is guaranteed for a specific period of time.

Q:When can I lock my interest rate?
A:Lock periods vary from 15 day locks to 45 day locks.  Specific conditions are required to obtain a lock for these time periods.  Your Loan Officer will explain your options at the time you submit your loan application.

APPRAISAL:

Q:Who orders the appraisal?
A:Your Loan Officer is responsible for ordering the appraisal.

Q:When is the appraisal ordered?
A:The appraisal is ordered early in the loan process to avoid any delays in your escrow.

APR:

Q:What is the difference between the interest rate and the apr?
A:The Interest Rate is the cost to borrow money from the Lender, and is confirmed in your Promissory Note.  The APR represents what your loan is costing you, expressed in interest rate terms, over the life of your loan.  Closing costs and lender fees are included in this calculation.

HAZARD INSURANCE:

Q:What is Hazard Insurance?
A:Hazard Insurance is typically referred to as “Homeowner’s Insurance”.  It protects homeowner’s against property damage and is required by lenders before you buy or refinance a home.  Foothill Home Mortgage does not provide Hazard Insurance, so you will need to arrange for this insurance.

DOCUMENTATION:

Q:What kind of documentation will I need to provide?
A:The required documentation will vary depending on the type of loan for which you are applying as well as your individual situation.  The basic documentation that is typically required is:  2 years income documentation such as W-2’s or tax returns; current paystubs and current bank statements.