Pre-Approval Documentation Essentials

If you are interested in purchasing a home and qualifying for a mortgage, it’s always a good idea to get pre-approved before shopping for a property. Here are the pre-approval documentation essentials to complete a pre-approval:

  • Completed loan application
  • Last two years’ personal federal tax returns, complete with all schedules attached
  • Last two years’ W2’s and 1099’s (if applicable)
  • Last 30 days’ consecutive paystubs
  • Two consecutive months’ bank, savings, checking, money market, stock, pension, and IRA accounts – include all numbered pages. Documents must be copies of your paper statements or downloaded as PDFs from your bank’s website (there is usually a link to download your statements). Webpage printouts are not acceptable
  • For retirement accounts, your most recent quarterly statements

Self-Employed Borrower’s need to provide these additional documents:

  • Last two years’ K1’s (if in a partnership)
  • Last two years’ corporate federal tax returns, including all schedules

Home Owners need to provide these additional documents:

  • Copy of current mortgage statement
  • Copy of current insurance statement (declaration page which shows premiums)
  • Copy of property tax statement
  • Copy of HOA statement (if applicable)

Tip! During the loan process, you will be required to print, sign, and provide many documents to your loan officer. Instead of faxing them, scan them. Scanned documents provide the clearest copy and allow you to keep better track of all documents you provided. Even if you have to buy a $60 scanner for this purpose, it will be some of the smartest money you’ve ever spent!