What happens before the loan closes?
After an underwriter is done reviewing your loan, he/she will send "conditions to close" to your loan funder. These are normally just specific requirements for further documentation to support your loan application. When these requirements have been satisfied, the loan funder will give a final approval and "clear to close". The loan agent will contact you and arrange a convenient time for you to meet with a signing agent to complete the final loan documents. As a convenience to loan applicants, Greenlight Financial Services frequently schedules a loan signing before all of the required documentation has been received by the lender and prior to final approval of the loan.
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At the loan closing, you will meet with a signing agent to...

• review all the loan documents and file
• verify the total assets
• sign your final loan documents
• arrange for the transfer of funds

What happens during the loan closing?
The closing usually takes place at the office of a title company or attorney in your area who will act as our agent. If you are purchasing a new home, the seller may also be at the closing to transfer ownership to you, but in some states, these two events are scheduled to happen separately. During the closing you will review and sign several loan papers. The closing agent or attorney conducting the closing will usually be able to answer any questions you have or if you prefer, you may contact your Loan Consultant at Greenlight Financial Services. Just to make sure there are no surprises at closing, your Loan Consultant will contact you a few days before closing to review your final fees, loan amount, first payment date and advise you on the documentation you will be signing at the closing.
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What documents will I have to sign at the closing?
The following are the most important documents that you will be required to review and sign at the closing:

HUD-1 Settlement Statement
This document provides an itemized listing of the final fees charged in connection with your loan. If your loan is a purchase, the settlement statement will also include a listing of any fees related to the transaction between you and the seller. If this loan is a refinance, the settlement statement will show the pay off amounts of any mortgages that will be paid in full with your new loan. Most items on the statement are numbered according to a standardized system used by all lenders. These numbers will correspond to the numbers listed on the Good Faith Estimate that will be provided in your Welcome Kit. This document is also commonly known as the closing statement and both the buyer and seller must sign this document.

Truth-in-Lending Statement (TIL)
This document provides full written disclosure of the terms and conditions of a mortgage, including the annual percentage rate (APR) and other fees. It is exactly the same as the TIL that you received immediately after your initial application, except it has been updated to reflect the final rate and fee information. Federal law requires that all lenders provide you with this document at closing.

Note
This is the document you sign to agree to repay your mortgage. The note will provide you with all of the details of your loan including the interest rate and length of time to repay the loan. It also explains the penalties that you may incur if you fall behind in making your payments.

Mortgage / Deed of Trust
This document pledges a property to the lender as security for repayment of a debt. Essentially this means that you will give your property up to the lender in the event that you cannot make the mortgage payments. The Mortgage restates the basic information contained in the note, as well as details the responsibilities of the borrower. In some states, the document is called a Deed of Trust instead of a Mortgage.

If your loan is a refinance, Federal Law requires that you have three days to decide positively that you want a new mortgage after you sign the documents. This means that the loan funds won't be disbursed until three business days have passed. The closing agent will provide more details at the closing.
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