Documents You Need 4 A Loan

A customer, who is quickly becoming a friend of mine, asked me recently what she needed to gather for a loan application – she’s moving to a new area (the company is relocating them) and before she packed everything up and moved into corporate housing she wanted to know what she should leave UN-packed. I wrote her the letter below, detailing the Documents You Need For A Mortgage Loan.

“Hey,” she said, “Maid Service and it’s free! Are you kidding?  I’m taking every day we get in Corporate Housing!”

Here’s my advice to her:

Great News!  The documents needed for a FHA loan are VERY similar to those you would need when applying for most other types of financing these days!  Here’s our “Scavenger Hunt” list!

• Most Recent pay stubs for 1 full month.
• The name, address and telephone number of someone who can verify employment.  (We will be sending them a form to complete)  We will be verifying your income for the last 2 years.
• If either of you are now, or have been self-employed, or earned income OTHER THAN W-2 income in the last two years, we will need full copies of your tax returns.  If you ONLY earned W-2 income, we will need a copy of the W-2s for the last 2 years.
• Any data regarding the relocation package, and specifically what your company is covering.
• If you owned property, and you’ve sold it, we’ll need a copy of the HUD-1 Settlement Statement.  If you own a property that is leased, then we will need a copy of the lease agreement.  We need to document 2 full years of residence.
  If you’ve been renting during the last 2 years, we will need the name, address and telephone number of the landlord.
• We need copies of bank statements for the last 2 months.  If you are changing banks, remember that we will need to verify the money going out of one account and into another! (PLEASE try not to have any NSFs!)  We will need ALL pages of the bank statements.
• If you are receiving a gift for the your down payment – we will provide you with a gift letter to have completed.  We will also need to verify that the person giving you the gift has the money in their account.  In the event that you, or the donor, do not keep money in a bank – we do have other options, so you will need to speak with us directly about that situation.
• In the event that you do not have sufficient “lines” of credit, we can look at “alternative lines.”  This means that if you have only 1 credit card, and no other credit, we will likely need to use your cell phone, and your insurance (for instance) to establish that you pay your bills on time.  If you think you might be in this situation, please have the last statement available for us.

In every single loan file, there are other items that we might also request… it’s difficult for me to anticipate every different situation… for instance, if you sold a car before moving, and deposited $5000 from that sale – we are going to ask for evidence of the sale… but for the most part… this should be a VERY complete list.

Congratulations on your move, and your new opportunities!  I know this is an exciting time!

If you are considering a home purchase in Garner, or your buying your first home in Cary, and have questions about Documents You Need For A Mortgage Loan – please call Steve and Eleanor Thorne, Connect With Us on Facebook, 919-649-5058