When am I committed to borrow?
Some buyers feel like once they have signed the application, they are obligated to borrow. That is not the case. Throughout the loan process, none of the documents that our clients receive are contractual until they are actually at closing and formally signing the note.
Signing a loan application is simply a way to get financing approved so buyers are in a position to make an offer, purchase a home and then close the home loan. Homebuyers are not obligated for the loan transaction until the closing documents are signed.