If existing coverage is in effect that might avoid an unnecessary inspection, the home seller should mention this to the listing broker. The seller is responsible for payment of the inspection, removal of any infestation if required, and the repair of damage if needed. Loan Processing Your listing broker will keep you informed about the buyer's loan approval progress. Most contracts require the buyer to make a loan application immediately after contract ratification. The lender's loan officer takes the buyer's application.
Lender verifies the buyer's employment, income, deposits, credit rating and debts.
Upon receipt of all information and appraisal, loan officer submits application package for loan approval to the VA, FHA, investor or lender's loan committee, as appropriate. VA, FHA, and occasionally a conventional lender, may specify requirements which must be met before loan will be made, such as repairs. Ask your listing broker about this situation. When the loan is approved, a commitment is issued to the buyer. Many contracts require loan commitment from the lender within a specified period of time.