Maybe you’re still early in the house-hunting stage, but it won’t hurt to start rounding up some of the paperwork and other information you’ll probably need when it comes time to apply for a mortgage. (If there will be a co-borrower, the same information will be required for each applicant.)
- Social security number.
- Two forms of identification, such as a passport and driver’s license.
- Home addresses for the past 2 years (including landlord names and contact information).
- Earnings information for the past 2 years (including employer names and addresses).
- W-2 forms/1099s for the past 2 years.
- Most recent year-to-date pay stub.
- Verification of any additional income.
- Monthly payment and current balance details for any loans you may have.
- Two most recent statements for deposit, investment, and retirement accounts, etc.
- A detailed budget of all your income and expenses.
- If applicable, information regarding child support or alimony.
Check your credit
You should also request a copy of your credit report from the 3 major credit reporting agencies: Equifax, TransUnion, and Experian. By law, you’re entitled to a free annual credit report from each company, so there’s no investment involved. Be sure to order all three, because the information they contain may differ.
Review your credit reports carefully, because your lender will want an explanation for red-flag items such as late payments, charge-offs, judgments, liens, collections, etc. Recent credit inquiries noted in your report could also raise questions. Resolve any issues immediately so they won’t affect your chances of being approved for a mortgage.
Do the groundwork
This is just a broad-brush picture of what will most likely be required by your lender. Different programs have different guidelines, and specific situations such as self-employment or a bankruptcy filing in the last 7 years will require additional documents and information. The same will hold true if you own other property.
But, just by gathering the information described above, you’ll be off to a good start!
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