Get a head start by gathering your mortgage documents early for your pre-approval BEFORE you go house hunting. Having a pre-approval makes you more competitive than most buyers and helps you determine what price range you should stay in. The earlier you prepare your finances, the easier it can make your process.
Here is a list of what lenders will be asking you for if applicable:
- Photo identification (valid Driver’s License or Passport) for applicant and co-applicants
- W-2 or 1099 forms for the past two years
- Pay-stubs for the last 30 days (most current)
- Employment history for the last two years (address any gaps of employment)
- Bank statements (Checking, savings, etc.) for last 2 months (all pages). All non-payroll deposits must be documented – please make a copy of the check before you deposit it.
- Statements for 401(k)s, stocks, other investments (most recent)
- Signed Federal tax returns from the last 2 years
- Residential history for the last two years, with name, phone number, address and account number of landlord or mortgage company
- If you paid off a mortgage in the last 2 years, need copies of HUD1 or Release/Satisfaction
- Check or credit card information for credit report and appraisal fee
- Complete divorce decree (If applicable)
- Complete bankruptcy filing (If applicable)
Self-Employed Borrowers Additional Documents:
- Last two year’s signed personal/corporate federal tax returns (with all schedules)
- YTD profit & loss statement and balance sheet
- Copy of business license or CPA contact information
- 1099s or Kl forms
- Include Certificate of Eligibility
- Statement of Service
- Most recent original pay-stub
- Copy of Social Security card and picture ID.
You should prepare to have 3-6 months of cash reserves depending on your transaction. This is in addition to your down payment if you are not receiving assistance! Your lender may ask for additional documents outside of this list on a case by case basis.