Understanding the Final Approval

What is a final approval? What's next after I am cleared to close?

In this lesson of the the complete beginner's guide to a Home Purchase, you will learn more about the home purchase process step of a final approval.

Congratulations! You've submitted your loan application, been through conditional approval and now you've reached final approval! At this step of your loan, you've met the requirements and conditions to close on your mortgage. Underwriting has fully inspected your documents and verified that you meet the requirements of the loan type and mortgage amount you've requested.


Final Approval or Cleared to Close?

Both phrases are used interchangeably by most lending companies. With Veritas Funding, we call this step of your loan "Final Approval" but you may also take that to mean that your mortgage has met the requirements to be "Cleared to Close."

Pat yourself on the back! Reaching this stage allows us, your mortgage lender, to order the documents package to be delivered to title. These documents are what will be signed by you and all additional borrowers on your Uniform Residential Loan Application (URLA).

What to Expect After Final Approval

If you haven't received your Closing Disclosure at the Conditional Approval stage, you will be receiving it no fewer than 3 business days before your scheduled closing date. This Closing Disclosure includes the loan type, term, estimated monthly payment, rendered service fees, prepaids, cash-to-close, various loan calculations and contact information.

Once acknowledged with your signature, the 3-day countdown begins.

Closing Documents: After Final Approval, we get to work on "Prior to Funding" conditions behind the scenes and also begin the request process to have your documents prepared and delivered to title.

In order to request the Closing Documents, either myself or a member of my team will reach out to you to set up a closing appointment. We will coordinate your signing window with title to figure out available closing appointments along with times convenient for you.

The Closing Documents are set to your closing date so be sure all borrowers are available to appear to sign the documents in person to avoid additional delays.

Can Your Loan Still Be Denied?

Final Approval does not guarantee you will close on your home. It's unusual to occur, but there are circumstances where this could occur. These reasons include but not limited to:

  • Loss of qualified income such as employment termination or changing jobs.
  • Newly discovered obligations such as a vehicle purchase or new line(s) of credit.
  • Unexpected lawsuit.
  • Filing for divorce or bankruptcy.
  • Loss of life or ability to sign loan documentation.
  • Loss or spending of funds needed as "Cash to Close" to complete the loan.
  • Other dramatic changes to your financial situation.

Although not a complete list above, as you can see, making changes to your credit, income or available funds can still result in denial of your loan. Stay vigilant and when in doubt, ask your loan officer!

Prevent Delays in Closing

Many other reasons could delay your closing. Be sure to not move funds around, close bank accounts or anything else with your documented and verified funds. Any movement would likely require us to verify transfers from the old bank account and the deposit to the new bank account.

How Long Until I Can Close?

Typically, it will take a minimum of 3 business days to schedule your closing after you've acknowledged (signed) your Closing Disclosure.

Any time after that may be to accommodate additional funding conditions, a closing appointment or to accommodate all borrowers availability to sign documents.

A majority of the time, closing documents should be made available to the title office within 1-3 business days where there's no additional delays.

You've Made it to the Home Stretch

Now that you have your Final Approval, you are in the home stretch to completing your home loan!

You can look forward to a closing date right around the corner and to take possession of your home.

The next and final step is to review our guide to closing on your home.

Your mortgage guide to a successful home purchase!

Throughout the loan process, I will be there as your Senior Mortgage Consultant to guide you.


Let's get you started towards your final approval today! Start your loan application here or take my 60-second questionnaire to begin the mortgage process!

About Scott Buehler

Scott Buehler Your Mortgage Consultant

Welcome to an exceptional home buying experience with Scott Buehler, a Senior Mortgage Consultant, by your side. I'm a proud father of three, a homeowner, hiker, biker, writer and love being around water (my zen place).

My goal is to be your Loan Officer for life. I'm here to help you finance your first home and every loan after. It is my hope this website and all guides establish me as your go-to professional for you, your family, friends, neighbors and everyone in-between.

Disclaimer

The content on this page provides general consumer information. It is not legal advice or regulatory guidance. Scott Buehler updates this information periodically. This information may include links or references to third-party resources or content. Scott Buehler or Veritas Funding does not endorse the third-party or guarantee the accuracy of this third-party information. There may be other resources that may also serve your needs. Veritas Funding does not offer real estate services. Contact a licensed Real Estate Agent for real estate information. Veritas Funding does not provide credit repair services. Veritas Funding does not offer tax services. Contact your tax preparer for advice on your personal or business taxes.

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Personal Hands-On Help with Scott Buehler

Every client is unique which requires special care, understanding, compassion and know-how. You will have specific questions that are based around your specific circumstances that aren't answered here.

As your mortgage consultant, I want you to understand that you can come to me directly with anything about home loans. There are no "dumb questions" about one of the largest financial transactions of your life! Please ask.

Accommodations Include: Email, texting, in-office meetings and phone calls. After-hour and weekend accommodations available by appointment.

Below, you will find a form to ask a direct question by email. Please verify your email is correct so you'll receive my reply. You may also send a text to 435.590.1019 to ask questions or to check availability for a phone call.

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