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.
Kim Cuomo brings a 25 year wealth of experience and passion to the world of real estate, having dedicated over two decades to serving clients across the vibrant landscapes of South Florida. With a background as a paralegal, Kim's transition into real estate was not just a career change, but a discovery of her true calling. Her deep-rooted love for the industry is evident in the personalized, hands-on approach she adopts with each client, ensuring they feel valued and supported through every step of their journey.
Whether navigating the complexities of a first-time home purchase or orchestrating the sale of a luxurious $30 million estate, Kim's expertise spans the full spectrum of residential and commercial real estate. Her reach extends across Palm Beach County, Martin County, St. Lucie County, Broward County, and Miami-Dade County, offering a comprehensive understanding of the unique markets within each area.
Kim Cuomo's dedication to excellence and her ability to forge meaningful connections with clients make her not just an agent, but a trusted advisor and friend in one of the most significant transactions of their lives. Her commitment to providing exceptional service is unwavering, making her a standout professional in the South Florida real estate scene.
