Need a mortgage but not sure where to start? Here is some basic information on what may be required from you.
In order to receive a pre-approval, your lender must take a completed application, review credit and submit all documentation. The list below is most of the information that will be required for most buyers. Once you submit this information, some additional documentation and clarification may be required. This way you are confident that you have a loan and when you find your home, you know that the financial approval you have is solid and you will have smooth sailing until closing!
- Most recent pay stubs representing your earnings for the last 30 days
- Include all W2 forms last two year
- Most recent two months bank statements for all accounts, including checking, savings, CDs, money market, stock and investment accounts, and retirement. (Include all pages, even the blank or “disclaimer” pages. If you are including retirement accounts, forward the “term of withdrawal” i.e. documentation explaining how and when you can withdraw funds.
- Copy of your unexpired driver’s license and social security card.
- If you ever paid or have been ordered to pay spousal or child support, or if you receive it and would like it considered, forward a copy of your final divorce decree and/or current court order.
If you own any real estate, please include the following for each property
- Current mortgage statement(s)
- Current property tax bill
- Current insurance declarations page
- Lease or rental agreement, if applicable
- Homeowners association bill, if applicable
- Include a year-to-date profit and loss statement
- Most recent two years personal and corporate tax returns (if applicable, with all pages and schedules)
If applying for VA Loan
- If you are applying for a VA loan, a copy of your DD214
Also, you should be ready to prepare a signed letter of explanation for any or all of the following:
- Major negative items on your credit report (collections, bankruptcies, foreclosures, etc.)
- Inquiries that show on your credit report in the last 90 days – you will need to explain why they inquired and whether a new account was generated. We will let you know which ones.
- Any non-payroll deposits that appear on the bank statements, even the small ones. You may need to provide supporting documentation depending on the frequency and size of the deposits.
- If a debt appears on your credit report but is paid by someone else, you will need to explain it, as well as, provide 12 months cleared checks showing the third party making the payments.
- Years in which tax returns where not filed.