Three Steps

• Once you have chosen your lender you have to go through three main steps before getting the keys to your new home. The first is the application process --- the lender pulls your credit report, asks questions about your income and assets and then fills out a residential home mortgage application for you to sign. Next is the document gathering process, during which you must find and submit all paperwork required by the lender, like pay stubs and bank statements. You must also schedule an appraisal of the property in this step. Finally, the ball goes into the lender's court. The lender must finish approving the loan based on your documents, application and information and set a closing date for you to sign the final paperwork.
  
  

Take Charge

• Some people believe that the lender holds all the cards when it comes to getting a mortgage loan. But in truth, when you have a good credit score (about 720 or higher) and clean credit history you have choices. Don't settle for the first quote and pre-approval you get from a lender --- check other lenders for quotes and packages. If you don't feel that your lender is providing you with the detailed information and guidance you need as a new home buyer, keep a second choice handy. The loan officer makes a commission on closing the loan successfully, so she should cater to your needs as the applicant.
  
  

Seek Help From the Seller

• If you don't feel you can afford the closing costs and need some help, talk to the seller of the house. When it's a buyer's market, meaning that homeowners have a hard time selling their homes, sellers are commonly more willing to work with you. This may also be the case when sellers are under pressure because they have already applied for a mortgage on a new home or have to move for business. A seller can put money toward your mortgage loan transaction in the form of seller's assistance. In this case, the seller agrees to put a certain amount toward your closing costs.
  
  

Financial Activity

• Another important detail you should know about the mortgage application process is that the lender is monitoring your financial moves and behaviors during the application and approval period. For instance, if you make a major purchase on your credit card, that could negatively affect your credit score and raise red flags for the lender. Avoid making any major financial moves or purchases until after your mortgage closing date.