How to apply for a loan?
To apply for a loan services, you should first create an online account. You'll set up a username and password, answer a few security questions, and go through a two-step verification process. After that, you'll be able to apply for pre-approval and complete the application form online.
You can apply online, via phone, or by leaving your contact information so that a loan officer can contact you.
Requirements
PennyMac Financial Services follows the conforming loan requirements for mortgages approved by the government-sponsored enterprises (GSEs) Freddie Mac and Fannie Mae, as well as those supported by the United States Department of Agriculture (USDA), the United States Department of Veterans Affairs (VA), and the Federal Housing Administration (FHA).
Conventional loans
- Good credit (usually a score of 620 or above);
- Minimum payment of 3% for first-time borrowers. For other borrowers, at least 5%.
- Anything less than a 20% down payment involves the asset of private mortgage insurance (PMI). PMI is the lender's financial protection in case you don't pay back your mortgage.
If you are USDA, VA, and FHA loan programs subject, these requirements are set by the government.
USDA
- Citizenship in the United States or lawful permanent residency in the United States (i.e. U.S. non-citizen national or qualified alien).
- Capability to confirm creditworthiness, usually with a credit score of at least 640.
- Income that is consistent and stable.
- Adjusted household income equals or falls below 115 percent of the local median income.
- You use the property as the principal residence, and it's in a qualifying rural region.
- An intention to repay the mortgage - in most cases, 12 months of no late payments or collections.
VA
- During the war, you were on active duty for 90 days in a row.
- You have 6 years of National Guard or Reserves service.
- During peacetime, you served 181 days on active duty.
- You are the spouse of a service member who died in the line of duty or was disabled because of service.
- Capability to confirm creditworthiness, usually with a credit score of at least 620.
FHA
- Capability to confirm creditworthiness, usually with a credit score of at least 640.
- Make use of the financing to purchase a primary house.
- Determine that an FHA-approved appraiser has valued the property and that it complies with HUD criteria.
- A documented employment experience for the previous two years.
- Income must be traceable by pay stubs, federal tax returns, and bank records.
- Wait one to two years after a bankruptcy or three years after a foreclosure before applying for a loan.
Application details
You submit an application online or by phone. It is processed from 45 to 60 business days. When that time period expires, PennyMac will "disburse" the monies the following business day, and you should receive them within 2-3 business days.
If you are not subject to borrowers, meet appropriate underwriting conditions, or meet other restrictions, your application can reject.
Traditional loans typically require the following documents to verify your employment, income, and assets:
- Your Social Security number,
- W-2 forms for the previous two years,
- Bank statements for the past two or three months,
- Pay stubs for the last two months,
- One to two years of federal tax returns,
- A signed contract of sale (if you've already determined your new home),
- Information on current debt, including student loans, car loans, and credit cards.
