MORTGAGE 101
What Documents Will I Need?
Welcome to Mortgage 101. We help home buyers and realtors understand home loans. You’re in the right place if you’re thinking of buying your first home, if you’re moving to your next home, or if you’re ready to refinance your existing loan.
Documents You Will Need
When you apply for a loan, your lender will ask you to submit a list of documents. This information is reviewed by your lender to determine how much money you qualify for. Which documentation you need will differ depending on what kind of loan you apply for. Different loan programs require different documentation for review.
The list of required documents varies. So it really depends on the type of loan you’re getting as it is specific to you.
Income
Generally, a lender will need to review your employment documentation showing income, as well as your asset documentation.
For example, a salaried employee who receives a W-2 just needs a couple of things to verify income. Someone who is self employed and doesn’t get a W-2 would require different documents. A lender would need to look at things like personal tax returns and business tax returns, as well as business profit and loss statement.
Income may also include social security income, a pension or retirement income.
Assets
Your lender will want to review documents that show where your down payment and closing costs are coming from. These are your assets.
Assets would include bank statements, retirement documents, and stocks.
There are so many different ways to qualify for a loan, which documents you need really depends on your circumstances. To make this easier, your lender will give you a list of documentation that you need to pull together for loan application.