Mortgage paperwork can be complex and may require some upfront legwork. When buying a home for the first time, you may encounter some never-before-seen documents when securing your loan.
Check out our comprehensive guide to mortgage paperwork.
In order to finance a home loan, you will need a steady source of income. Providing proof of this demonstrates to the mortgage lender that you have the capability of paying back the loan. The way you do this varies depending upon your employment situation.
For W-2 wage-earners, supply:
For self-employed and independent contractors, supply:
For real-estate income, supply:
Regardless of your style of employment, you may need to bring in copies of your two most-recent federal and state tax returns.
In order to grant a home loan, mortgage lenders must first gain an understanding of your financial situation. Disclosing your assets assures a lender that you have wealth that can be used to pay off the loan. There are two types of asset documents needed to secure a home loan—bank statements and retirement and brokerage account information. Before you head to your lender, prepare the following asset-related documents:
Along with assets, you will be asked to provide documentation about your debts to gain a complete understanding of your financial situation. Banks will ask you for the following debt documentation:
In addition to the previously mentioned paperwork, there are a few other miscellaneous records that should be prepared as needed:
A mortgage is your ticket to a new home, so get out ahead of the paperwork. With this information in hand, you’ll be more prepared to meet with your lender and land the home of your dreams.