Asking for a loan can be a stressful and scary undertaking and many feels uneducated on the process. Whether buying a home, asking for investments into your business, or requesting a short-term loan you must educate yourself on the process. For starters, you should find your credit score, save some cash to use as a down payment, pay down debt, refrain from opening new debt accounts, then get pre-approved. It may seem overwhelming but there are a few shortcuts to make things easier. For example, using a mortgage application template allows you the freedom to make changes pertinent to your situation while providing a tried and true structure to ensure your application makes it to the top of the lenders list. Applying for a commercial mortgage, home mortgage and a simple loan vary and it’s important to understand the differences.
Commercial Mortgage Application Template
A commercial mortgage is used by businesses and investors who wish to purchase new or refinance commercial properties.
When completing a commercial mortgage application, you will need the legal name, address and social security number for each partner or investor in the company so make sure you have that on hand.
If the property is a larger shopping plaza or similar you will be required to submit a rent roll along with the application. That is a list of all companies renting space, the terms of their agreement and the rent paid.
Knowing just what the lender requires up front will be beneficial in securing your loan. Do not be afraid to ask questions and find out exactly what will be expected from you. Develop a list of all information required and begin the application process once it has been gathered.
A short form mortgage application template is used to secure a promissory note by using either the home or the debtor as collateral. It’s most commonly used by private investors or commercial parties and essentially places a lien upon the property until the note is repaid.
Most financial institutions have their own application forms for mortgages, however, private investors do not which makes this form extremely convenient.
Along with all the usual paperwork that comes with mortgage applications, the short form requires a fictitious deed of trust be filed as well.
The Short Form Application reduces the opportunity for errors and the time for review thus speeding up the loan process.
Short Form Mortgage Application Template
Mortgage Applications are used by one or more parties to borrow money in order to purchase a home, vacant land or other real estate.
Various documents must be submitted with the mortgage application including but not limited to your last two pay stubs, your current W-2, the last two years of tax returns, and all current bank statements. Having one less document to obtain and a model to fall back on will make gathering information more organized.
Every financial institute has its own components to their mortgages. It’s important to check each offer and compare them to each other. Even if they have the same interest rate there may be differences in the points or fees associated with the mortgage.
Sample Mortgage Application Form
Simple Loan Applications are used to apply for a personal loan and typically requires no down payment.
Simple loans can be used to purchase a new car, pay for education, plan a vacation, buy a new computer, household expenses, or plan a wedding.
Simple loans can be acquired through a financial institute, an investor or personal acquaintance. Regardless of the loans backing an application should be completed to agree to terms and conditions of the loan.
Simple Loan Application Form
Tips for Writing Mortgage Applications
- Know Your Credit Score – Not only knowing what your score is but understanding what on your report is positive and what needs to be changed will help you know your next steps.
- Organize Your Financials – Make a list of all documents that will be required during the application process. Make sure all information on the forms is complete and correct and that it is all the same.
- Prove Your Down Payment – The down payment money should be in your bank account no less than two weeks before applying for the loan. Keep all documentation showing where the down payment came from. If you worked and saved the money provide the savings account statement and if it was an inheritance bring the documents from the will.
- Borrow Only What You Want – A lender may decide that you can afford a much higher loan than what you are comfortable with. You do not have to take all of it. If you are only looking to purchase a modest two-bedroom home because that is what you feel you can repay, stand your ground and only accept a loan for the home you want.
- Hire a Real Estate Attorney – No matter what loan you are applying for it may be beneficial to have a real estate attorney review the documents prior to finalizing the mortgage. They may find issues or they may not either way your mind will be slightly more at ease knowing a professional reviewed your documents.