Frequently Asked Questions about the Loan Process

01/24/2022 01:19 PM By Cody Stevens

Am I committing to Gapital by getting pre-approved?

No. Our mortgage preapproval is meant to make your home-shopping experience easy and seamless and allow you to understand the types of mortgage loans and rates available to you. Completing the preapproval mortgage application does not mean that you’re required to continue with Gapital.

Will I have a point of contact at Gapital?

Yes. As soon as you complete your initial preapproval process, we'll introduce you to your mortgage loan originator. You can contact your loan originator anytime throughout the process.

How quickly can I close my loan?

Gapital usually closes mortgage loans within four weeks of disclosing a loan. The exact timing depends on a few factors, including how quickly you can submit all required documents, as well as the timing of third-party services. The most common situation that requires a longer time is when a seller has made the closing contingent on closing on their new home. If your mortgage loan happens to have more complicated circumstances and will take longer to close, your mortgage loan originator will discuss this with you when it's time to lock your rate, and you may agree to a longer lock period.

Do I need to have an escrow account?

An escrow account is not required for most borrowers. However, having an escrow account usually helps in getting the best mortgage rate and maintaining your peace of mind.

If you choose to have an escrow account:

  • The annual amount of your property taxes and homeowners insurance will be divided by 12.
  • Your monthly mortgage payment will be increased by the monthly amount of your taxes and insurance.
  • Your mortgage provider will pay your taxes and insurance for you out of the escrow account.
  • Your total mortgage payments are the same, and you may get a better rate.

Without an escrow account, you are responsible for paying your tax and insurance bills directly.

Can I transfer my current escrow account?

No. Any balance in your current escrow account at the time of new mortgage loan funding will be refunded to you by your current mortgage servicer. This typically happens within three weeks from time of closing.

What do I need to do to lock my rate?

After you get preapproved and find a property, we will present you with the day's current mortgage rate options. At that time, you can request your loan originator to lock your rate. Your loan originator will help guide you through the decision if you're not sure.