There are a number of documents which will be needed to determine your qualifications for a mortgage loan. A credit check is the basis for a preapproval (and the subsequent loan). You will have to give your loan officer permission for them to examine your credit history. In many cases it is a good idea to check your credit report for accuracy before beginning the preapproval process.
Documents you will need to supply:
You can expect be a asked for the following documents and should have them available prior to meeting with your loan officer. In some cases there might be additional documents required.
W-2 forms: Usually need two years' worth. Allow the lender to evaluate income and job history. This helps the lender evaluate risk level.
Profit-and-loss statements: For self-employed individuals to substantiate their incomes. In some cases gross income may appear low but business expenses might indicate that tax deductions are the cause.
Pay Stubs: Help confirm current employment and income level. In some cases a lender might reconfirm employment prior to closing.
Bank statements: Including checking, savings, CD's, and mutual funds. Lenders like to see that you have the resources for the down payment and that you have had approximately that amount for awhile, not recently obtained.
Tax returns: Typically two years' worth. Tax returns give a lot if information to the lender as to your financial situation.
