It’s that time of year when a lot of home buyer’s are in the mode for that real estate purchase. One of the best first steps in buying a home is to choose a Realtor. Your Realtor will be an invaluable source of information and resources. Your Realtor will be there to give you guidance and answer questions about the next important step – choosing a loan company and making application. There will be requests for a lot of documentation. I have some items here that will save you a lot of time if you start gathering them now. If you are going to be making the loan application in concert with someone else, i.e. your spouse, the required information will be for both applicants. THE LOAN APPLICATION ITEMS NEEDED BY BORROWER(s) When the home buyer applies for a mortgage loan, they need to have the following information available for the loan officer:

  • • GENERAL INFORMATION
    • Your home addresses, with zip codes, for the past 2 years.
    • If you have been renting, the name and address of your landlord for the past two years.
    • Identification – your driver’s license and social security card.
    • Cash or check to pay for your credit report and the appraisal on your purchase.
  • • YOUR EMPLOYMENT
    • Employment addresses for the past 2 years, including the zip codes and phone numbers.
    • Your pay stubs from the last 30 days.
    • Copies of your W-2s and/or 1099 statements.
    • Tax returns for the past two years. Form 1040 and all schedules.
  • • PROOF OF ASSETS or SECONDARY INCOME
    • Name, address, account numbers, zip code and phone number for all banking references.
    • Copy of bank statements covering the last two months.
    • Copies of stocks, bonds.
    • Proof of Income from pensions or disability.
    • Proof of child support or alimony paid or received (don’t forget to include a copy of the divorce decree.)
  • • VERIFICATION OF CREDIT/DEBTS
    • Copies of your credit card statements or loans will have the name, address, zip code, account number, monthly payment and current balance of all your creditors.
    • Child care expenses.
  • • MISCELLANEOUS
    • If you have found the house you want to buy you will need a copy of the real estate purchase contract.
    • Self employed borrowers should bring complete tax returns for the past two years; plus a current profit and loss statement and a balance sheet prepared by an accountant.
    • Proof of Income from rental properties to Include current leases, gross rental Income and total mortgage payments for each properly. Also name, address and zip code of each lender.
    • A letter of explanation to cover any gaps in employment, any recent career changes, any recent added bank accounts, and minor credit issues.
    • The Contract of Sale on the current home if funds will be coming from this sale.
    • A copy of the closing statement from any home sale completed within the past 3 years.
    • Veterans who are applying for a VA loan will need their DD214 and VA Certificate of Eligibility.
    • If you are working through a relocation arrangement you will need copies of any financial arrangement you have with them, i.e. paid closing cost.
NOTE: Not all of the above items will apply to all applicants. However, having these items available will save you some time in the processing and closing of your loan. In some situations where you may be making a large down payment, the lender may not require as much documentation. If you are unsure, or have questions about what you will need, call the loan officer.

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