Loading
What You Need When Applying For a Home Loan

What You Need When Applying For a Home Loan

Updated on
March 5, 2020

It used to be that lenders mailed out verification to employers, banks, mortgage companies, and so on, in order to verify the data supplied by borrowers. Nowadays, the interest is often in speed and getting answers quickly so alternate documentation has become more widely used. Alternate documentation means that underwriting answers can be obtained with information supplied directly from the borrower instead of waiting around for verifications to come back in the mail.

What Do You Need When Applying for a Home Loan?

The following is required for most standardized loans as part of alternate documentation processing. Items may differ according to whether your loan is a conforming (Fannie Mae or Freddie Mac), non-conforming (jumbo) loan, government loan, or a portfolio loan.

Verifications are still mailed out, but usually as part of quality control procedures.

These are the things you need to supply to your lender to get a quick approval using alternate documentation.

Applying for a home loan

Proof of Income

  • W2 forms for the last two years
  • Pay stubs covering a 30 day period
  • Federal tax returns (1040s) for the last two years, if:
  • you are self-employed
  • earn more than 25% of your income from commissions or bonuses
  • own rental property
  • or are in a career where you are likely to take non-reimbursed business expenses
  • Year-to-Date Profit and Loss Statement (for self employed)
  • Corporate or partnership tax returns (if applicable)
  • Pension Award letter (for retired individuals)
  • Social Security Award letters (for those on Social Security)

Asset Items

  • Bank statements for previous two months (sometimes three) on all accounts. All pages.
  • Statements for two months on all stocks, mutual funds, bonds, etc.
  • Copy of most recent 401K statement (or other retirement assets)
  • Explanations for any large deposits and source of those funds
  • Copy of HUD1 Settlement Statement on recent sales of homes
  • Copy of Estimated HUD1 Settlement Statement if a previous home is for sale, but not yet closed
  • Gift letter (if some of the funds come as a gift from a family member)
  • Gifts can also require:
  • Verification of donor’s ability to make the gift (bank statement)
  • Copy of the check used to make the gift
  • Copy of the deposit receipt showing the funds deposited into bank account or escrow

Credit Items

  • Landlord’s name, address, and phone number (for verification of rental)
  • Explanations for any of the following items that may appear on your credit report:
  • Late payments
  • Credit inquiries in the last 90 days
  • Charge-offs
  • Collections
  • Judgments
  • Liens
  • Copy of bankruptcy papers if you have filed bankruptcy within the last seven years

Other

  • Copy of purchase agreement (if you have already made an offer)
  • To document receipt of child support (if you desire to show it as income)
  • Copy of Divorce Settlement (to show the amount)
  • Copies of twelve months canceled checks to document actual receipt of fund

FHA Loans

  • Copy of Social Security Card (or other documentation of social security number)
  • Copy of Driver’s license

VA Loans

  • Copy of DD214

Refinances

  • Copy of Note on existing loan
  • Copy of HUD1 Settlement Statement on existing loan
  • Name, address, phone number, loan number of existing loan/lender
How to buy a home

Applying for a home loan can be a tedious task but knowing the information required before you start the application process gives you an advantage because you can collect what you need before hand, which saves time for you and any potential parties in your real estate transaction.

Additional Financial Considerations
from Financial Experts

No items found.
What You Need When Applying For a Home Loan
How to apply for a home loan
Whether your first second, or dream home, we find you the perfect property.
Applying for a home loan
We sell your home quickly & efficiently getting offers for your property.
What do you need to apply for a home loan
We find you the perfect office & commercial location for you.
What do you need to buy a home
Are you in the perfect space but need to upgrade to new demands?
What do you need to buy a home
Find the best residential, commercial & land investments.
Home loan applications
We help you relocate your home, business & life to Houston.
What Do You Need When Applying for a Home Loan?
Mortgages, Titles,  estates. Learn more about purchases.
What You Need When Applying for a Home Loan
Contact us for help with your real estate sale or purchase.

Real Estate Categories

the right property, the first time
Find your next property

Contact us to find your next property. We find you the best beginner or luxury home or commercial & business real estate opportunities.

Free Real Estate Consultations
Houston Realtors

We are looking forward to hearing from you.

contact us

Monday to Sunday
9am - 5pm

Address

Pride Street Realty
713-201-5257
Houston, TX 77084
Email

Contact our specialists today

Take a moment to send us your message to serve you faster.

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

The Latest from the Walkthrough Blog