Watching my children hunt for Easter Eggs a couple of weeks ago was so much fun. They ran with eyes wide open and big smiles on their faces to try to find the eggs with the best goodies inside them. The Easter Bunny even leaves a golden egg too that has money inside it! So, that is always the first egg they try to find. It is always so much fun to see them running around gathering up all of the eggs.
This entire day reminded me of how some of our customers might feel throughout the loan process. They are trying to find that Golden Egg! They hunt around gathering all of their documents with excitement stirring about their new house. The frustration many buyers have is when things aren’t asked for up front. Boxes get packed and last minute surprises only add stress. We always try to best serve our customers by telling them everything up front. So, I thought it would be a great idea to talk about some of the things that you can start gathering in the beginning to make the end result a stress free loan process.
1) Most recent 30 days of pay-stubs for all borrowers and all jobs. (If you are starting a new job, your lender may request that you provide your offer letter and your first paystub prior to closing.)
2) Last 2 years of W2s and tax returns.
3) Contact information for your current landlord (if you are renting).
4) Most recent 60 days of bank statements on each of your accounts (even retirement accounts). You will need to provide all pages of these statements and you may be asked to document any non-payroll deposits. I know this seems odd, but this allows the underwriter to make sure that there aren’t any debts out there that we don’t know about. You could have gotten a personal loan for the amount of the deposit and then we would have to count that debt in qualifying you.
5) Copy of your purchase contract for your new home (if applicable).
6) If you are receiving a gift for your down payment, please call us. Depending on how the gift is given, we can help you document it appropriately for underwriting.
7) Copies of your driver’s license and social security card.
8) Proof that your earnest money and due diligence fees have cleared your account. This can be as easy as providing a bank statement showing the withdrawal of those funds.
9) Contact information for your homeowner’s insurance agent. If you haven’t picked one yet, you will need to provide that within 2 weeks of closing.
10) If you own a current home, you will need to provide a most recent mortgage statement for that property that proves if your home is escrowed. If it is not escrowed, you will need to provide a copy of your most recent tax bill and insurance bill.
11) If you receive Social Security income or a pension, you will need to provide your most recent Awards letter and proof that money is being deposited in your bank account each month.
Watching the hunt for the eggs is very exciting in the beginning, but if they don’t find what they are looking for, it can become very frustrating. The Golden Egg can sometimes be elusive, but with the right lender, you can sit back and relax throughout the loan process. If you are looking for that right lender to walk you through what is needed up front, please call me. I’d love to help!
