Before you get into a loan, get in the know.

The Old Second Loan Process

Old Second's streamlined mortgage process means you’ll move to closing quickly and with less anxiety. Whether you’re a first-time homebuyer, in the market for a new home, refinancing your existing home or in need of special financing options, an Old Second residential lender can help you choose the appropriate loan and guide you through the process.

To get an idea of what you can afford, please call us at 877-966-0202. We will help you estimate your mortgage affordability based on your income, debt and the type of loan that is most likely to fit your needs. Based on that estimate, we may be able to pre-approve you, even if you haven't found a home yet. Our lenders will help you review your options and, in most cases, give you a real-time decision on your loan request. If you’re pre-approved, we'll contact you to discuss next steps and conditions of approval. If we can’t approve your loan, we’ll contact you and discuss any questions and potential loan alternatives.

With your consent, we will obtain an electronic copy of your credit report. We’ll review the report along with your application before returning a loan decision.

We may order an appraisal to determine the property's value and charge you for this appraisal.  We will promptly give you a copy of any appraisal, even if your loan does not close.  You can pay for an additional appraisal for your own use at your own cost.

We may ask you to provide verification of the income and assets reported on your application.

All lenders require proof that the seller or refinance borrower has the right to ownership of the property and that all existing liens are identified. Title insurance protects lenders and homebuyers from unrealized claims against title to the property. We require lender's coverage, which protects Old Second from any claims made against ownership, and you will have the option to purchase an owner's policy.

You'll need to obtain hazard insurance coverage to protect you and Old Second against property damage or loss. You must have proof of an acceptable homeowners' insurance policy to close your loan.

If the property is located in an area that is a government-designated flood zone, you also will be required to purchase flood insurance. We will notify you if flood insurance coverage is required. If it is, we can help you obtain coverage.

Borrower-paid mortgage insurance or an alternative is required when the borrower’s down payment is less than 20% of the home's value or when the borrower has less than a 20% equity position in an existing home. (Not applicable to FHA or VA loans)

Closing is the final step of your loan process. At closing, you'll review and sign the mortgage contract and a variety of other legal documents and pay any costs necessary to complete your transaction.