When you’re ready to buy a home, the first step is to understand the loan process. The process can be confusing and time-consuming, but it’s always important to know what you’re getting into before you start. 

While loan providers have different requirements, the loan process generally follows these steps:

Step 1: Getting Pre-Qualified and Applying for the Loan

If you’re considering buying a home, the first step is getting pre-qualified for a loan. It will give you an idea of how much money you can borrow and what your monthly payments will be.

The first step in getting pre-qualified is to contact a lender. They will ask you questions about your financial situation, such as your income, debts, and assets. They will also pull your credit report to see if you have a good credit history.

Based on this information, the lender will give you a pre-qualification letter that states how much money you can borrow. It’s not yet a commitment to lend, but it will give you an idea of what you can afford.

Submitting a loan application is important, as lenders don’t order appraisals before you apply. When applying for a loan, the lender will verify your employment, income, and assets. They will also do a credit check. 

Step 2: Finding a Property

The next step is to look for a property that you want to purchase. Once you have found a property, the lender will order a home appraisal to ensure the place is worth the price you’re paying.

If the appraisal returns at the price you are paying or higher, the lender will give you a loan commitment letter. It’s a formal loan offer stating the interest rate, monthly payment, and other terms and conditions.

Step 3: Closing

Once approved for the loan, the lender will send you a loan estimate. This document will outline the final terms of your loan, including the monthly payment, interest rate, and closing costs. 

If you have reviewed and accepted the loan estimate, the lender will send you a loan closing disclosure. This document will list the final terms of your loan and all of the costs associated with closing on the property. Be sure to review it carefully before you sign.

Once you have signed all the paperwork, the lender will send the money to the closing agent. The closing agent will pay out the funds to the seller, and you will officially own your new home!

Important Reminder: Determine Your Budget First

Before you take out a loan, it’s crucial to determine your budget. That will help you understand how much you can afford to borrow and can also help prevent you from getting in over your head

To start, calculate your monthly income and expenses. It will give you a good idea of how much money you have coming in and where it’s going. Once you have this information, you can look at how much you can realistically afford to borrow.

Remember that you will also need to budget for insurance, taxes, and upkeep in addition to your monthly loan payments. When looking at loan options, be sure to compare the total cost of the loan, not just the monthly payments.


There are many different types of loans available in the United States, and the process of getting a loan can vary depending on the type of loan you seek. However, in general, getting a loan in the US typically involves filling out a loan application, providing documentation to support your loan request, and then waiting for a decision from the lender. 

If you are approved for a loan, the lender will disburse the funds to you, and you will be responsible for paying the loan according to the terms of your loan agreement.

If your plans include applying for a home loan in Oklahoma or Florida, you can count on Cross Timbers Mortgage to provide financing options that fit your needs. Get in touch with us by calling 888-298-3301  or emailing info@crosstimbersmortgage.com.