Dan J. Harkey

Master Educator | Business & Finance Consultant | Mentor

Loan Submission Package From a Mortgage Broker to a Lender

An effective loan submission package from a mortgage broker to a lender should be clear, complete, and compelling, enabling the lender to quickly assess the loan’s risk and viability.

by Dan J. Harkey

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Here’s a breakdown of what should be included:

1.  Executive Summary (Loan Submission Summary)

  • Borrower name(s) and entity structure
  • Loan amount requested
  • Purpose of the loan (purchase, refinance, construction, bridge, etc.)
  • Collateral description (property type, location, condition, value)
  • Exit strategy (sale, refinance, etc.)
  • Loan terms requested (LTV, interest rate, term, amortization, prepayment terms)

2.  Borrower Profile

  • Borrower background and experience (especially for investment or commercial loans)
  • Credit report (tri-merge or equivalent)
  • Financial statements (personal and/or business)
  • Schedule of real estate owned (SREO)
  • Tax returns (typically 2 years, if applicable)

3.  Property Information

  • Address and legal description
  • Photos of the property
  • Appraisal or Broker Price Opinion (BPO) (if available)
  • Purchase contract (if applicable)
  • Rent roll and leases (for income-producing properties)
  • Operating statements (historical and pro forma)
  • Environmental reports (Phase I, if required)
  • Title report or preliminary title commitment

4.  Loan Structure and Underwriting Details

  • Sources and uses of funds
  • Down payment verification
  • Debt service coverage ratio (DSCR) analysis (for income properties)
  • Exit strategy analysis
  • Guarantor information (if applicable)

5.  Supporting Documents

  • Entity documents (LLC operating agreement, articles of incorporation, etc.)
  • Insurance binder or quote
  • Escrow instructions or closing timeline
  • Any third-party reports (e.g., inspection, engineering, zoning)

6.  Broker Commentary (Optional but Valuable)

  • A brief narrative from the broker explaining:
    • Why the deal makes sense
    • Any compensating factors for weaknesses
    • Relationship with the Borrower
    • Broker’s due diligence performed

🔚 Closing Statement: The Importance of an Effective Loan Submission Package

An effective loan submission package is more than just a collection of documents—it is a strategic presentation that communicates the strength, viability, and professionalism of the loan request.  A well-prepared package enables lenders to make informed decisions quickly, reduces back-and-forth delays, and builds confidence in the broker’s due diligence.  By clearly articulating the Borrower’s qualifications, the property’s value, and the deal structure, the submission becomes a persuasive tool that can significantly increase the likelihood of approval and favorable terms.  In today’s competitive lending environment, precision, transparency, and completeness are not just best practices—they are essential.  Your work in preparing this package is a testament to your expertise and dedication, and it is this trust that lenders place in your work that makes your role so crucial.