Business Magazine

What Documentation Do You Need for a Mortgage?

By Homesmsp @HomesMSP

One of the most frequent questions I get is what do you need from me?   I will get a phone call or email from someone that wants to buy a home and they ask what do I need to get you?  So here is a list of the most frequently requested items! Some of it is very basic, but every so often we need something extra!

-Paystubs - we need to have your last two paystubs.  They need to show your year to date income and have at least 30 days of earning on them.

-W-2's and tax returns - we need your last two years of w-2's and your federal tax forms.  And yes, I need the entire return! Sometimes people will send me the first two pages, but I need to see if there are work expenses or any other thing that can affect your income.  I do not need your MN return, just the federal.

-Bank statements - I need the last two months of bank statements.  I will also need to see your statement or a print out once your earnest money clears your account.  If you get quarterly statements I just need the last quarterly statement.

-Divorce decree - if you have been divorced, we will need this.  If you pay or receive child support, we need this to document it.  If you owned a home with an ex-spouse, the decree shows us who is responsible for it.

-Bankruptcy or foreclosure information - if you have a bankruptcy, we need all the bankruptcy documents along with an explanation of why you filed bankruptcy.  If you had a foreclosure we need information showing when the foreclosure was and an explanation of why.

-401K statements - if you are using your retirement account for your down payment or reserves, we need a copy of the last statment if it's quarterly, 2 statements if it's monthly. 

-Gift letter - if you are using gift money, we will need a gift letter completed and documentation showing the transfer of funds. 

There are times we need explanations from you - any derogatory credit usually needs a letter of explanation.  If there are large deposits on your bank statement, we will need an explanation and usually a copy of the checks. 

There are times it seems like we are asking for everything but the kitchen sink, then there are times where we need very little!  Every file is a little different and it all depends on what you are doing and what has happened in your past.  If you aren't sure about something, ask, that is what we are here for.

Leslie Vanderwerf,  NMLS ID#335509, American Mortgage & Equity Consultants, NMLS#150953 - Email - Website


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