You're Pre-Approved for a Mortgage. Now What? A Terre Haute Homebuyer's Guide

You did it.

You filled out the mortgage application. You answered approximately 47 questions about your financial life. Your lender reviewed everything.

And now you're pre-approved to buy a house.

🎉

So… what exactly happens next?

I'm Chelsea Lentes, Senior Loan Officer with Ruoff Mortgage in Terre Haute, Indiana, and this is where I remind my buyers that getting pre-approved isn't the finish line.

It's the starting line.

Here's what happens from pre-approval to getting those keys.

Step 1: Start Shopping With Your Realtor

Now comes the fun part.

Your Realtor will help you find homes that fit what you're looking for, schedule showings and ultimately write your offer.

But your maximum pre-approval amount and your comfortable payment are not necessarily the same number.

Before you make an offer, especially if property taxes, insurance or the price are different from what we originally discussed, reach out to me.

I can run the estimated payment.

I would much rather get a text on a Sunday asking, “Chelsea, what would my payment look like on this house?” than have you write an offer and discover afterward that you don't love the number.

Step 2: Your Offer Gets Accepted

Cue the excitement.

Once you're under contract, your Realtor sends me the purchase agreement and we turn your pre-approval into an active mortgage file.

Now we know the actual purchase price, property address, seller concessions, closing timeline and other details we need to start building your loan.

Step 3: Initial Loan Disclosures

You'll receive initial mortgage disclosures early in the process.

These documents contain estimates.

And I cannot emphasize estimates enough.

At this point, we may still be waiting on title work, tax information, homeowners insurance, seller credits and other pieces of the puzzle.

The disclosures get the official process moving. Your numbers will continue becoming more accurate as those missing pieces come in.

Step 4: Inspection and Appraisal

Your home inspection and mortgage appraisal serve two very different purposes.

A home inspection is primarily for you. The inspector looks at the home's condition and helps identify potential issues.

An appraisal is required by the lender in many mortgage transactions to establish an opinion of the property's value and, depending on the loan program, review applicable property requirements.

They are not interchangeable.

And yes—you generally want your own home inspection even though we're ordering an appraisal.

Step 5: Underwriting

Welcome to the part of the mortgage process that sounds scarier than it is.

The underwriter reviews the loan to make sure your documentation and the transaction meet the requirements of your mortgage program.

They may request additional documents or explanations.

That's normal.

A conditional approval basically means, “We're good, as long as we finish these remaining items.”

My team and I work with you to get those conditions handled.

Step 6: Title, Insurance and Final Numbers

While underwriting is happening, we're also gathering other pieces of the transaction.

Title work comes in.

Homeowners insurance gets finalized.

Tax information becomes clearer.

We work through any remaining underwriting conditions.

Your estimated numbers start turning into much more concrete numbers.

Step 7: Your Closing Disclosure

Before closing, you'll receive a Closing Disclosure—or what you'll probably hear me call the CD approximately 100 times.

Your initial CD gives you a much closer look at your loan terms and closing figures, although certain figures can still be adjusted as final items are reconciled.

We'll review your cash-to-close amount and make sure you understand what you're looking at.

Step 8: Clear to Close!

My favorite three words in mortgages:

CLEAR. TO. CLOSE.

That means underwriting has signed off on the required items and we're preparing for the finish line.

Then you sign your final documents, complete the closing process and—assuming everything funds as required—you officially become a homeowner.

What Should You NOT Do While You're Buying a House?

Here's my quick survival guide:

Don't finance a new car.

Don't open a bunch of credit cards.

Don't move large amounts of money around without talking to us.

Don't make a giant unexplained cash deposit.

And please don't finance an entire living room because the furniture store offered you “no payments until 2029.”

Ask your lender first.

I would much rather answer a question that feels silly than fix a problem three days before closing.

Looking for a Mortgage Loan Officer in Terre Haute?

Buying a home involves a lot of moving pieces, but you shouldn't feel like you're trying to figure them out alone.

I'm Chelsea Lentes, Senior Loan Officer with Ruoff Mortgage in Terre Haute, Indiana, and I help buyers throughout Indiana and Illinois navigate everything from the initial mortgage pre-approval through underwriting and closing.

My approach is pretty simple:

I want you to understand your mortgage.

Not just sign papers.

Not just get approved.

Actually understand what we're doing and why we're doing it.

Because buying a house is a big deal.

Your lender should treat it like one.