Your Step-By-Step Guide to a Smooth Refinance

Your application is under review and a Bank representative will contact you if additional information is required. If you failed to submit all the documents during your application process, those documents will be requested and the file won't move forward until all the required documents have been received.

The Bank will order your appraisal to a state-licensed and/or certified appraiser. They will be in contact with the seller to schedule a date for the appraiser to determine the value of the property. The speed of the appraisal process is determined by the schedule of the seller. 

The Bank will order a Title Commitment, which dislcoses all the liens, defects, and burdens and obligations to all parties involved relating to the property. 

The Bank receives the appraisal and will do a thorough review. An appraisal review may be required, which is when a different appraiser from another company reviews the appraisal. You will receive a copy of the appraisal promptly upon completion or three business days prior to consummation, whichever is earlier.

A second certified appraiser will review the original appraised value to confirm the valuation is accurate. 

The Bank will review your Title Commitment and begin working to clear any outstanding items. 

By choosing LSB, your loan file gets reviewed by a local, LSB employee, not someone across the country, which helps accelerate the loan approval process. The underwriter reviews your income information to confirm you receive a loan that you can afford.  

The underwriter then verifies the account information you collected is accurate. This is the second phase to confirm you are receiving a mortgage loan that you can afford. 

The next step is for the underwriter to review your credit report and the title commitment. They look to determine if there are any judgments, liens, or other Title Issues that could prevent your ability to repay your loan. You may be contacted by the underwriter to clarify findings. 

Your appraisal gets reviewed to confirm the market value of the property and identify the loan-to-value ratio you qualify for. 

Your employer will be contacted to confirm your employment. 

A commitment letter will be mailed and e-mailed (if an email address was provided) to you, informing you of the Bank's decision to approve or deny your loan request. 

An LSB employee will contact you to schedule your closing. You'll need to submit proof of income to verify you are still employed. In addition, an LSB representative may contact your employer.

You'll need to update the mortgagee clause on your insurance policies as outlined on your Mortgage Loan Fact Sheet, so the insurance companies know where to send proof of insurance in the future. You may need to provide copies of your HOA and/or Flood Insurance policies (if applicable).

If you are paying off debt with the loan proceeds, you will need to provide the Bank with payoff statements, so the funds can be sent accordingly. It's important to make sure you provide the closing date when requesting a payoff statement to ensure the full amount required to be paid is paid. 

You will receive a closing disclosure at least 3 days prior to your closing date. LSB will review our current mortgage rates to see if you are eligible for a free float down on your interest rate. 

If you need funds from a personal account - in addition to your loan proceeds - to pay off additional debt, you will need to have those funds ready prior to closing. The dollar amount is listed on your closing disclosure. The funds are usually wired, so you will need to speak with a personal banker in advance of your closing. 

An LSB representative will not be present at the closing. They will be working with the Title Company remotely to expedite the process, which will usually take between 30 - 60 minutes.