- John F. Kennedy

Conditional Loan Approval
Loan Status Report

Has your Realtor asked you to get a LSR for an offer you want to make on a home? The Loan Status Report (LSR) is a document required by the Residential Resale Real Estate Purchase Contract as described:

62. Loan Status Report: The AAR Loan Status Report (“LSR”) with, at a minimum, the Buyer’s Loan Information section
63, completed, describing the current status of the Buyer’s proposed loan, is attached hereto and incorporated herein by reference.

The form is actually a two part form:

Section One entitled “BUYER’S LOAN INFORMATION” details the financing that will be used for the purchase. This section includes, loan type, rate, loan-to-value, occupancy and other pertinent data. It also asks if a lender has been consulted.

Section Two entitled “LENDER PRE-QUALIFICATION” details how far in to the process of securing the financing a buyer actually is. This level can be from basic discussion to full preliminary approval. The basic principal behind the form is conformation of your ability to qualify for the financing in the method that has been described on the offer.

The form does not actually require a consultation with a lender. A borrower can simply complete the top section of the form and submit a contract without the bottom section “Lender Pre-Qualification” being completed. There is a checkbox in section one that states a consultation has not been completed.

Having the Lender Pre-Qualification section completed improves the ability to have a contract accepted by the seller. The information in this section lets the seller know that you have discussed financing and have started the process of originating a loan.

Give me a call to begin this phase of your home purchase. Typically we can handle the first phase of this step over the phone and review income, credit and assets verbally as described in question one. From there, we can progress through the additional steps to full approval.

See the sample form below

Thanks for coming to our web site.  Get directly in touch with us if we can help in any way.   Rod Dennis, President

(480)850-6500