In most cases, obtaining a mortgage is the backbone of the home buying process. This week’s Mortgage Minute outlines the 11 documents to get you started down this necessary path. Abraham Walker, Your Northern Virginia Real Estate, speaks with Jake Middel of Springbank Mortgage to discuss the documents you’ll need to obtain a residential real estate loan. These documents will lead you to the happiest phrase in this process, “You’re Clear to Close.”
Each buyer is unique which makes the mortgage loan process a one of a kind process. Don’t be surprised if your lender request other documentation, this is not intended as an all-inclusive list.
Have these documents ready to access. Minimize your stress by compiling them into one location for your mortgage lender to review.
Have these documents ready to access. Minimize your stress by compiling them into one location for your mortgage lender to review.
- Two (2) years of federal tax returns, all pages, and all schedules, signed by all parties responsible for the repayment of the loan.
- Two (2) years of W2s, 1099s, K1s and other income related documentations.
- 60 days of bank statements. Include every page need of your bank statement, even the blank pages. Overlooking the blank pages is easy. Count this as a reminder.
- 60 days of documentation on liquid assets, this includes but isn’t limited to stock, investments, 401Ks, TSP accounts, IRAs, CDs, and stock options. You can use these funds for your down payment, or closing costs, but your lender must see adequate documentation.
- 30 days of pay stubs. Your pay stubs will help your lender outline your wages, average monthly income, bonuses, commissions, etc.
- Contact information for your employers Human Resources dept. Your lender will need to verify employment.
- Two photo IDs. Driver’s license, passport, military ID, etc.
- Documentation of any gifts for down payment. Your lender will need to be able to source or track where the money came from; there should be documentation from both parties, the giver, and the receiver.
- Signed social security cards of all parties responsible for the repayment of the loan, this is to verify the numbers on your mortgage application.
- A copy of the earnest money deposit check. This document proves good faith in the transaction to the seller. Your lender will also track the fund’s movement from your account listed in Step 4.
- If you are upgrading and retaining your current home as a rental, you will need documentation relating to the taxes, and current mortgage. If you are selling your previous home to buy this home, you will need to provide your closing statement for the home sale.
It is important to provide documents quickly once the process has begun, in a rapid market, people move fast, and a delay could pull the home of your dreams from your grasp.
Special thanks to my co-host for today’s show, Jake Middel with SpringBank Mortgage. Feel free to email him you mortgage questions to [email protected].
About the Author: The above article was written by Abraham Walker, Your Northern Virginia Real Estate Agent, helping clients market their homes to achieve high sales with a quick closing time is my main priority. He’s the co-founder of Ask A Walker and can be found on YouTube, Facebook, and HERE on this blog.
Abraham can be reached via email at [email protected] or by phone at (703)539-2053. He’s happy to answer all your real estate questions.
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I help people sell and buy real estate in the following Northern Virginia area cities & neighborhoods: Kingstowne, Island Creek, Cameron Station, Overlook, Alexandria, Old Town, Belle Haven, Fort Hunt, Mount Vernon, Springfield, West Springfield, Burke, Lorton, Woodbridge, Lake Ridge, Manassas, Annandale, Fairfax, Arlington, McLean, Reston, Herndon and of course Vienna.
