Typically, you can afford up to 29% of your gross monthly income. However, there are several factors that affect this amount. For this reason we recommend contacting one of our mortgage professionals for consultation.
Depending on the mortgage program applied for, the Automated Underwriting guidelines, and/or the financial strength of the borrower(s), the items needed to process the loan may be less than what is listed here. Contact us for details.
Most loans require:
Name and address of employer for the last 24 months, and if you are an officer or director of your company, furnish us with a letter from the CFO or outside Accountant stating your percentage of ownership, if any.
If you have filed your 2004 returns, we will need your 2004 and 2003 tax returns (all schedules including your W-2 or 1099 forms). We will also need a copy of any extension(s) filed.
If you have BONUS OR COMMISSION INCOME that is 25% or more of your total compensation, please provide tax information listed above.
Copies of all K-1 forms for any partnerships or corporations shown on Schedule E of your returns; and if you own more than 25% of said partnerships or corporations, we will need business tax returns (1120, 1120 S or 1065) and a YTD P&L.
Copies of the most recent two consecutive month's bank, stock/bond, IRA, 401-K and/or pension plan statements (all pages). Online printouts may be acceptable. Some programs only require one months statements.
Copies of divorce decree, alimony and/or child support papers, all pages.
Copies of leases for all rental property. Loan Information, market value and addresses on all real estate owned.
Copy of Warranty Deed and Survey on your home.
Name, policy number and phone number of your insurance agent, or a copy of the declaration page of your Homeowners Insurance Policy.
Copy of Owners Title Insurance Policy (all schedules) and/or a copy of your closing statement. If renting previously, landlord's name & address (es) for last 24 months.
Paystubs covering the most recent 30 days worked and most recent two years' W-2 statements.
Name and phone number of your employer's human resources or accounting personnel, whoever can provide a verbal verification of employment and YTD earnings. Name and number of CPA if self-employed.
If you have a Home Equity Line of Credit or Second Mortgage, a copy of the note or payment coupon, and the name and phone number of the banking officer at the bank.
Copy of purchase contract and company relocation agreement (if applicable) if you are purchasing a new house.
Upfront fee for appraisal, credit report, and flood certification. Upfront fees credited back to borrower at closing.