Loan Resources

Different loans work for different people, depending on their needs. You can pick a lot of different programs and different loan types, and our team will help you decide which one is the most suitable for you. 

See our loan options here.

We can make assumptions but prefer not to since, once we get your information, it can change. There are over 25 different variables that go into the rate. The top variables are credit score, loan amount, loan compared to value, occupancy, and how much or if you want to pay what is called “discount points” to buy the rate down.

Your preapproval is good for 120 days.  After that, information will have to get refreshed to extend that time. Preapproval can be completed as quickly as one day or it can take up to a week depending on how long it takes to receive your required information. 

The closing costs are mostly fixed costs associated with getting the loan. In addition, there are some variable items to set up escrow to pay for taxes and insurance at closing. Also, potential points to buy down a better interest rate or lender credit for a higher rate.  General rule of thumb of 3% of the purchase price can be a good gauge for homes in the $275K to $375K range. 

Closing typically takes about 45 minutes. You will be required to bring your money (cashier’s check or send a wire of funds prior) to closing. You sign your name on all required documents about 50 times. While they are making copies, you are able to ask questions regarding your new purchase. For example: what’s the garage code, who do you use for utilities (water, electric, internet, gas, garbage, recycling, etc), what day is the garbage pick-up, how do you use the fireplace, furnace, A/C, items we need to know about the garden, yard, shoveling, how are the neighbors?

How much you're able to borrow depends on a lot of factors—income, savings, credit score, and much more. Our team will walk you through this process to get you a better estimate of how much you can borrow for your home loan or refinance.

You've probably heard the word escrow thrown around a lot when looking for a home loan. In short, an escrow account can be part of your mortgage payment. Your lender (us) takes a portion of your mortgage payment every month and puts it into an escrow account that pays your property taxes and homeowners insurance for you.

Your first payment due is outlined within your closing documents along with a “First Payment Letter” that should be included in the copies of your documents received at closing. In addition, you will receive a billing statement prior to your first payment due that includes the details. This may be directly with Luminate Home Loans or may be with another servicing company. As always, if you have any questions please reach out to us at servicing@goluminate.com. We are always happy to assist!

Most of the time, yes. We loan to borrowers with credit scores as low as 580 for certain loan types. Your best option is to talk to one of our professionals to see what options are available to you.

What many people don’t know is that most mortgage companies do not actually end up owning the individual mortgage loan. Instead, they are sold into a secondary market where investment banks and mortgage agencies purchase and then securitize into larger pools of mortgage-backed securities (MBS). The federal government requires the owner of the loan to notify the borrower within 30 days of acquiring certain information relating to ownership and servicing.

The other part of a mortgage loan is the servicing which is typically split apart from ownership of the actual loan. There are companies that specialize in servicing mortgage loans on a large volume. These companies make bids and purchase individual mortgage servicing rights (MSRs). The federal government requires any transfer of services to be communicated in writing to the borrower. Servicing transfers can take place a few times throughout the life of the loan. It is important for you to read any communication regarding servicing transfers, so you know where to send your mortgage payments to.

Online payments are dependent on the owner of your loan.  If your first payment is owed to another servicing company, the welcome package and/or billing statement will include any payment options/methods.

The servicing company will typically handle this if your mortgage loan includes monthly escrow. Always be sure to ask for clarification at closing to confirm what is included in your escrow payment each month.

Typically, this will include your homeowner’s insurance (HOI), property taxes, any mortgage insurance, and in some circumstances, other state/local taxes. If there are any issues you can always contact us at servicing@goluminate.com

Mortgage companies along with financial institutions sell mortgage loans to take advantage of the secondary market for the lowest possible rates for their clients. This allows mortgages to be combined into pools that lower risks and rates.

Download 9 Things Not to Do Before Buying a Home.

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