CHECKLIST FOR A MORTGAGE APPLICATION
PERSONAL INFORMATION
- Current landlord or mortgage company – name, address, account number, amount of rent or mortgage payment.
- If present address is less than two years, need former addresses, landlord(s) to cover two consecutive years.
- Current employer – name address, phone number, length of employment, position, salary and, if known, the name of the person who will verify all the information. A recent pay stub or your most recent LES will be required also.
- If employed less than two years at present job, need previous employer(s) and complete contact info to cover two consecutive years.
- Other income needed to qualify must be verified, such as retirement or rental income, second job, trusts, etc. Bring any documentation you may have on this with you.
- If self-employed, verification of income must be by:
1. Signed Federal income tax returns for last two years
2. Year-to-date profit and loss statement and balance sheet.
ASSETS
- Cash on hand (bank or credit union accounts) – Company name, branch address, account number, approximate balance, name(s) account is in and previous 2 to 3 month’s statements.
- Stocks bonds, etc. – breakdown and present value. Statement from your stock broker.
- Auto(s) – make, model and present value
- Household and personal property – value (if everything you own was destroyed, how much would it take to replace it all?)
- Real Estate – description and value.
- Cash value of life insurance and amount of coverage.
- Other assets such as boats, motorcycles, campers, etc. – make, model, present value.
DEBTS
- Open accounts – auto(s), notes to banks, finance companies, credit union(s), retail stores, credit cards. Need name, account number, minimum monthly payment and balances.
- Child support or alimony if applicable – documentation of amount and duration of obligation is necessary.
- Paid off accounts – name, loan number, highest balance if within the last year.
- Present mortgages – name of lender, address, loan number and type of mortgage.
GENERAL INFORMATION
- If any judgment or bankruptcy has been filed against you, please advise and give an explanation. Bring a copy with you.
- The source of the down payment and closing costs must be disclosed.
- On VA loans only – copies of your DD214 will be needed to determine your eligibility if inactive or a statement of service from CO if active. If you have your Certificate of Eligibility by the VA, please bring it with you.
- Check for credit report and appraisal.
- Current pay stubs, W-2’s or LES
- Bring drivers license or other photo identification. A copy will be made and placed in your file
- If you get child support or alimony, please supply all the court orders and records of your receipt of this amount.
MONIES NEEDED IN THE PURCHASE OF YOUR HOME
As explained in the steps of purchasing a home, you will need money in each step of the process through settlement. The amounts will vary with each contract and set of circumstances, so the following is an approximate estimate.
EARNEST MONEY: This amount will depend upon the price of the home. It must accompany the contract offer. This is your money and will be credited to you at settlement. The minimum
deposit is $1,000 and will go up depending on the sales price and terms. For example: Sales price $200,000 = $2000 (recommended) earnest deposit.
HOME INSPECTION: $250 TO $400
LOAN APPLICATION: $60 for credit report (will probably be less)
APPRAISAL: $350 to $450 (depending on loan type)
SETTLEMENT: There are 3 categories of monies needed.
1. DOWN PAYMENT:
A. VA loan--$0 if you are under the maximum loan amount or per your contract
B. FHA loan— 3% minimum (203b) or per your contract
Note: other FHA loans are available, contact your lender
C. CONVENTIONAL loan -- 3% Minimum or per your contract
*Note: There are some conventional loans with $0 down. These are more complex and your lender will explain them to you.
2. CLOSING COSTS -- These are all the legal fees, recording fees, surveys, origination fee, etc. that are associated with closing the loan. This will be approximately 3% of the sales price.
3. PRE-PAIDS – This is your escrow account through which the mortgage company pays your homeowners insurance, real estate taxes and pre-paid interest.
A. Homeowners Insurance – 1 year plus 2 to 3 months of premiums
B. Real Estate Taxes – 2 to 3 months
C. Pre-paid Interest – interest from the day of settlement to the end of the month.
ALL MONIES DUE AT CLOSING MUST BE IN CERTIFIED OR CASHIERS CHECK AND MADE PAYABLE TO THE CLOSING ATTORNEY OR SETTLEMENT COMPANY
- NUMBER1EXPERTS™ 
