Paperwork is a huge part of the mortgage process, so the better prepared you are - the smoother applying for your mortgage loan can be.
There are three categories of documents your lender may request: income, expenses, and assets. Knowing what to expect can help you gather your paperwork and turn it in with ease.
Mortgage lenders typically verify your income in two different ways. First, they’ll want to see your most recent Form W2 or Form 1099 (if you are self-employed), and they may also ask you to provide recent tax returns.
Some lenders may accept signed copies of your tax returns; however, many also use the IRS income tax verification process to ensure the forms you provide are the same as the forms filed with the IRS.
In addition to tax information, be prepared to send in at least a month’s worth of pay stubs to your potential mortgage lender.
Along with income verification, your lender may request verification of your expenses to get a better idea of your debt-to-income ratio. Providing them a copy of your credit report is a great way to show previous debts and other financial responsibilities on your plate.
Along with debts, a lender will generally ask for proof of previous rent or mortgage payments. You can provide a copy of the checks used to pay your rent; however, some lenders may ask you to sign a form allowing them to verify your rent independently, without you having to send in documents.
Lenders also ask for borrowers to send verification of assets owned. This may include but is not limited to: stock portfolios, IRA accounts, or other liquid assets.
Although this list isn’t completely comprehensive of all documents needed, it’s a great place to start when preparing for mortgage loan approval.
Broker Profile: Pierre comes from a diverse background. His adolescent and early adult years found him working for his father, a renowned structural engineer, and his brother, an architectural designer and general contractor. His knowledge of construction design (architectural & structural) and practices is significant. He coupled his construction background with his considerable sales experience, by becoming licensed to sell real estate in Massachusetts in 1986.
Pierre is also a licensed Attorney in the Commonwealth, who formerly worked for the Massachusetts Attorney General’s office as a litigator in the Victim & Witness Assistance Division of the Family & Community Crimes Bureau, litigating cases involving victims of violent crime, and since then has had his own legal practice.
For decades, Pierre has excelled in helping buyers of real estate find that condo, single-family, multi-family, lot of lands, or commercial property they desire to buy, or by effectively marketing his clients’ properties to sell their property for the most amount of money possible. His professional background embodies the ideal combination of construction, sales, negotiating, and contract drafting, which is essential to actualizing his clients’ goals and/or dreams. He does all of this with attention to detail, integrity, and success.
Since 1995, PCR Realty has helped buyers and sellers make their transactions as successful as possible. Using a consultative approach, PCR Realty approaches each experience as a unique opportunity for its clients. As a full-service real estate brokerage firm, PCR Realty provides leading-edge services for buyers & sellers.
When it comes to successfully navigating today’s complex real estate market, you need to work with someone who has the experience and commitment to see it done right. PCR Realty excels at matching buyers to sellers. From state-of-the-art marketing to an experienced broker, PCR Realty works diligently to far exceed your expectations. PCR Realty invites you to learn more.
