Loan Process

The University of California Home Loan Programs (UCHLP) staff is committed to making your home financing experience as stress-free as possible! To assist you, we have provided below a brief summary outlining the five main steps in the process.

Step One – Nomination for Program Participation

Nomination for participation in the Program is determined at the campus level and is dependent on the amount of funds available to the campus, based on allocations approved by the President of the University every years. Once you have been nominated for Program participation, your campus home loan coordinator will:

discuss the Program requirements with you;

provide the campus eligibility documents to UCHLP in order to initiate the loan application process.

(IMPORTANT NOTE: Nomination for participation and actual loan approval are not one in the same. After nomination is confirmed, the Participant must apply for the loan and qualify based on the Program loan underwriting criteria).

Step Two – Underwriting Review of Application Package

Once UCHLP receives your complete application package (submitted online application or faxed application AND all signed disclosure forms and supporting documents, as outlined in our Application Checklist), your assigned loan underwriter will:

Evaluate the information provided on your loan application, including income, asset and credit verifications, to ensure the qualifying underwriting requirements have been met;

Request additional information and documentation, if needed, for qualifying purposes;

Provide you with preliminary disclosures as required by Federal Law;

Work with your campus representative, realtor and escrow contacts to obtain additional documentation, as needed.

Step Three – Getting Pre-Approved

After all underwriting requirements have been met, UCHLP will:

Issue a Pre-Approval Certificate that is good for 90 days which states that you have been pre-approved based on the specified loan terms and a review of credit, income and assets only, and not a specific property;

Renew your Pre-Approval Certificate after 90 days, as requested, provided that your eligibility period has not expired and updated credit and asset verifications are received by UCHLP (24-hour advance notice is required for all pre-approval renewals).

Step Four – Loan Commitment and Signing of Loan Documents

Once you have an accepted purchase offer, and UCHLP has reviewed and approved all property documentation outlined in the Property Documents Checklist, OLP will:

Issue a Loan Commitment (Approval) letter committing to the funding of your loan for a specific property at a stated loan amount and 60-day locked-in initial interest rate. Please read this letter carefully - it contains important details about your loan, including certain conditions that must be met prior to loan funding, including Evidence of Insurance for the property;

Prepare your final loan documents and instructions to escrow outlining all final loan funding conditions;

Notify you by email or phone when your loan documents have been sent to the escrow/title company and request that you contact escrow to arrange for the signing of all final loan documents.

Step Five – Closing your loan

After OLP receives all signed loan documents and final escrow papers from the escrow/title company and upon receipt of all final funding conditions, UCHLP will:

Authorize the funding and recordation (closing) of your loan;

Require a Notice of Completion within 60 days of loan closing for any outstanding repairs for which funds were held in escrow pending completion (e.g. Section 1 termite work, or any other repairs that were required as a condition to the loan).

TEST SITE UNDER CONSTRUCTION

LOAN PROCESS

Step One – Nomination for Program Participation

Step Two – Underwriting Review of Application Package

Step Three – Getting Pre-Approved

Step Four – Loan Commitment and Signing of Loan Documents

Step Five – Closing your loan