Pre-Qualification – Prepare Key Documents for a Fast & Smooth Process
Below are suggested documents you may need and should have available in advance of your meeting with a loan officer or mortgage brokers.
___Mortgage Application – This is a standard form on which you will provide your name, current address, birth date, social security number, and information on your income, assets, and liabilities. Your signature on the application authorizes the lender, broker, and underwriter to request your credit score from the three major credit reporting agencies, as well as documentation from your bank and your employer.
___Your W-2 – The lender will require you to produce your W-2s for the last two or more years.
___Pay Stubs – You will be expected to produce your most recent pay stubs. You should also bring along any employment documentation pertaining to overtime, commission, or cash bonuses as verified by your employer. Some, but not all, lenders will take ancilliary income into consideration when evaluating a mortgage pre-approval.
___Tax Returns – Your lender will require you to provide at least two years of tax returns with your mortgage application. Bear in mind that you must also produce all tax documents on non-employment income such as retirement income, social security income, and interest and dividends.
___Bank Statements – You will be required to provide proof of available funds for any and all down payments and closing costs. Lenders will typically want to see at least two months of bank and investment statements.
___Additional Documentation – Some lenders and mortgage brokers will require additional documentation relating to any large non-payroll bank deposits, investment and/or pension income, or negative points on your credit report. Also, be prepared to provide documentation of any legal name changes.
Ultimately, if you qualify for pre-approval, you will be receive a letter from the lender an/or underwriter which confirms your eligibility for a home loan with details concerning the loan program for which you have qualified, the loan amount, the terms of the mortgage, and the qualifying rate. Keep in mind that this is only a good faith estimate, and much can change between the receipt of a pre-approval confirmation and your application for a proper mortgage.
If you have any questions in preparing your documents, please call us. Our loan officers are available to assist you every step of the way.