Getting your 'ducks in a row' before making an offer to purchase a home.
Below is a list of information you need to assemble before going to see your loan officer. By doing this prior to your visit, it will speed up the process enormously. For most new buyers, most of the list below will not be pertinent to you so just pick out what is relevant. Your loan officer will guide you through the entire process anyway but I provide this purely as a guide.
Meeting your loan officer
This is where you get your 'ducks in a row'. Together with your Realtor®, your lending officer should get you into a buying position, ready to pounce on that beautiful home you are about to set your heart on. In todays market, you NEED to be ready to make an offer that is backed up with finances in readiness. An offer without this power may take time to process and might fail and therefore much less attractive to sellers. Don't let that happen to you simply by not being prepared.
List of Documents for your Loan Officer
- a copy of all divorce decrees (no matter how long ago)
- 'green card' if you are not a US citizen
- drivers licence and social security card
- addresses of any real estate owned or co-signed for
- lease agreements on any rental property owned
- year to date pay stubs, 2 years W-2's and 2 years tax returns; if self employed a year to date profit and loss statement
- names and addresses of each employer for the last 2 years
- names of each landlord (if applicable), their addresses and phone numbersand the addresses of each residence for the last 2 years
- names, addresses, account numbers and balnces of checking and savings accounts, including all IRA's, CD's, 401k's, investment accounts, mutual funds employee savings accounts, etc
- 2 months bank statements or last quarter for each account in previous line above
- copies of all monthly statements showing name, address, account numbers, balances and monthly payments on all open loans or financial obligations, e.g: credit cards, car payments, student loans etc.
- names, addresses and account numbers for all open lines of credit, eg: VISA, MasterCard, American Express, Macy's etc that have balances owed
- estimated value of personal property and furniture
- if using gift funds, ask for a copy of a gift letter form from the lender and have it completed with a copy of the gift check and a copy of the deposit slip showing the funds in your account
- copies of court filings and discharge statements for any bankruptcies
- final sale deed for any foreclosures
- Veterans buying on a VA loan must have their Certificate of Eligibility and DD214
- if any part of the source of funds for your down-payment and/or closing costs is the recent sale of a home, provide the statement from that sale. If the closing is to be simultaneous with the purchase, the closing statement will need to be provided from the sale. Bring it to the signing for the purchase. If the same escrow company is handling the sale and purchase, they will automatically take care of it.
Note: If there is a co-signer on the loan they must also provide all of the above information.
Phew: that is a fairly long list and it is NOT exhaustive. I never said it was going to be easy but if you can work through as much of this list as you can then you will save bundles of time. Now, a good loan officer will help and advise you as much as they can so please don't ever feel alone or overwhelmed. Just reach out to your Realtor and/or your loan officer. We are here to help you get to the closing table which incidentally is the place where we give you your keys to the new home. We all will have earned it by then. LOL