Your Loan Application

To assist you through the application process, here is a list of the information you may be asked to provide for your loan application.

Name/Address/Social Security Number and dates of birth for all borrowers.

Name/Address/Phone Numbers of employers for the past two years, with dates of employment (month and year).

Letter of explanation on any gaps in employment in the past two years.

Addresses of last 2 years residence (need to verify 24 months).

Copy of last month’s paycheck stubs (including YTD earnings) plus current checking account statements.

For any additional income that is to be considered (social security, overtime bonus, commission, interest income, veteran’s benefits, etc.), bring documentation.

Names of banks in which you have accounts (checking, savings, CD’s, Money Market, IRA’s); full address of banking institutions, account numbers and balances.

A value amount for stocks and/or bonds.

Estimated value of furniture and other personal effects.

Copies of titles to any motor vehicles that are paid in full.

Name, account number, payments (minimum monthly payment) and balances for all installment loans (including child support) and charge cards, including addresses to which payments are sent.

Names and addresses of mortgage companies plus account numbers and balances.

Name/Address/Phone number of landlords for last two (2) years, if renting.

Estimated value of cars or trucks, including the year and make.

Approximate amount paid monthly for baby sitter or nursery school fees.

Complete personal income tax returns and all W-2 forms for the past two years.

Complete business income tax returns for the past two years.

If self-employed or receive income from commissions, year-to-date Profit & Loss Statement and Balance Sheet

Child support and/or alimony for borrowers who will use such payments as income. Bring a copy of your divorce decree and property settlement agreement, if applicable.

VA Loans require a copy of the Certification of Eligibility and DD-214, Discharge, if not on active duty.

Letter of explanation on past credit problems.

Copy of bankruptcy documents (filing and discharge), if applicable.

Letter of explanation for bankruptcy, if applicable.

Photo I.D. (Driver’s License, photo I.D. card, employee badge with photo).

Credit report fee and appraisal fee, if required by lender.

If you have entered into a Real Estate Contract, bring a fully-signed copy of the contract, as well as a copy of the cancelled earnest money deposit check.

If you have no established credit history, supply the lender with cancelled checks for rent, utilities and other recurring obligations to show payment history and amount of revolving debt.

If any part of your down payment is a gift from a relative, bring a copy of the gift letter and a copy of the gift check. The gift letter must state that the money will not have to be repaid.

Different lenders may have slightly different information requirements, so ask your lender what to bring to your initial loan interview.

After you apply for a loan:

Basically, don’t do anything at all financially!

The Fannie Mae Loan Quality Initiative mandates that the lender take on certain responsibilities. You can expect that a second credit report will be run on you immediately prior to closing. Any applications, inquiries, large payments, large charges or other changes to your credit report will likely result in a delay or denial of your loan. Don’t even shop for new debt: furnishings, appliances, a car, landscaping, a home equity line of credit, a newer credit card, or anything else. Don’t increase your utilization of existing credit.  Don’t change bank accounts, co-sign for anyone, make any large deposits or anything.  Don’t use your credit cards or fall behind on your payments.  Don’t spend any of your down payment money, get a gift for closer, or take a retirement loan without first consulting your loan officer!  Don’t change jobs or become self-employed.

Also…. at closing, unless this is clearly an investment loan, you will again state your intent to owner-occupy the property. After closing, you can expect that your lender will verify your occupancy by a review of the hazard insurance policy and/or utility bills and/or the employment of 3rd-party services that specialize in investigating occupancy information.

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