Yes, it is a full documentation lending world these days. That being said, the more prepared you are at the time of your initial loan application, the faster and smoother your transaction can go. The following is a list of items that may be required:
- Copies of Federal tax returns personal and corporate (1040, 1120, 1120S, etc.) including all schedules for 2009 and 2010 (2008 if 2010 not yet filed). If corporate, include copies of K-1′s as applicable.
- Copies of w-2′s and/or income 1099′s for 2009 and 2010
- Copies of paystubs covering the most recent 30-day period. If paid monthly, 2 consecutive paystubs will be required.
- If income or pension is received, copies of Awards letters.
- Copies of most recent 2 months bank statements (all pages), 401k, IRA, brokerage accounts, etc. (assets)
- For real estate owned, copies of recent mortgage statements or coupons, homeowners insurance declarations pages, property tax bills, and HOA statements as applicable.
- Copies of valid driver’s licenses or other government issued picture ID’s.
- For permanent resident aliens, copy of current Green Card. For non-permanent resident aliens, copy of current work visa.
- For VA buyers, copy of DD214 if discharged. Active duty will need a Statement of Service letter from their CO.
- Letters of explanation for derogatory credit, job gaps, larger than normal bank deposits, etc.
Yes, this is a lot of information. But the Wild West of Lending is behind us now. As the Boy Scouts say, “Be Prepared!”
