Want a fast and easy homebuying process? Of course you do. So how do you set yourself up for success? Start gathering your paperwork.
It may not be the most exciting part of buying a home, but it’s necessary to see where you stand and what you qualify for. Having your current financial records pulled and ready to go is the first step.
Here’s what you and any co-borrowers will need for a smooth loan process:
- W2s or 1099s for the past two years
- Pay stubs for the two most recent pay periods
- Income tax returns for the past two years (especially if you’re self-employed)
- Bank statements for any checking, savings or investment accounts (including 401(k)s, IRAs, etc.) for the past two months
- Records of any other forms of income you receive (Social Security payments, child or spousal support, etc.)
- Statements for assets, including stocks and bonds
Will you be receiving a financial gift from friends or family to pay for your down payment or closing costs? Then you should also have a gift letter to disclose that amount of money. And don’t forget to bring a copy of your driver’s license, as well as that of any co-borrowers.
Keep in mind that you may be asked for additional proof of income and assets. It will depend on the loan you’re applying for, as well as your employment status, income, debts and other unique financial factors.