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If you are purchasing or refinancing a
home:
- If you are salaried: provide two
years W-2 and one month of paystubs OR if you are
self-employed: provide two years tax returns and a
YTD profit and loss statement.
- If you own rental property, please
provide rental agreements and two years tax returns.
- If you wish to speed up the approval
process, please also provide three months bank statements
for each bank, stock and mutual fund account.
- Provide recent copies of any stock
brokerage or IRA/401K accounts that you may have.
- If you are requesting a cash out
refinance please provide a letter explaining what
you plan to do with the proceeds.
- Provide a copy of divorce decree
if applicable.
- If you are NOT a US citizen, provide
us with a copy of your green card (front & back),
or if you are NOT a permanent resident provide us
with your H-1 or L-1 visa.
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If you are applying for a home equity
loan:
- If you are salaried: provide two
years W-2 and one month of paystubs OR if you are
self-employed: provide two years tax returns and a
YTD profit and loss statement.
- If you own rental property, please
provide rental agreements and two years tax returns.
- Please provide a copy of the note
on your first mortgage. This will normally be found
in your closing loan documents.
- Please provide a signed letter explaining
what you plan to do with the proceeds.
- Provide a copy of divorce decree
if applicable.
- If you are NOT a US citizen, provide
us with a copy of your green card (front & back),
or if you are NOT a permanent resident provide us
with your H-1 or L-1 visa.
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Getting qualified before you apply for a loan can help you understand
how much you can borrow.
When buying a house, you may get pre-qualified or pre-approved.
You can typically get pre-qualified over the phone or on the
Internet in a few minutes. A pre-qualification is not as beneficial
as a pre-approval where you have to go through a more rigorous
process which includes verification of your credit, income,
assets and liabilities. It is highly recommended that you get
pre-approved before you start looking for a house. This will
help you:
- Find out the maximum house you can
buy, so you don't waste time looking for properties
you can not afford.
- Puts you in a stronger position
when you are negotiating with the seller, because
the seller knows that your loan is already approved.
- Helps you close quickly, since your
loan is already approved.
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To shop for a loan you will need to:
- Think about how long you plan to
keep the loan. If you plan to sell the house in a
few years you may want to consider an adjustable or
balloon loan. On the other hand, if you plan to keep
the house for a longer time, you may want to look
at fixed loans.
- Understand the relationship between
rates and points. Points are considered to be prepaid
interest and are tax deductible. Each point is equal
to one percent of the loan. So for example 1 point
on a $150,000 loan is $1,500. The more points you
pay, the lower the rate you will get.
- Compare different programs. Shopping
for a loan can be difficult. With so many programs
to choose from, each of which has different rates,
points and fees, it's hard to figure out which program
is best for you. That's where an experienced loan
officer can help you make a decision that's best for
you.
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Once your loan application has been received we will start the
loan approval process immediately. This involves verifying your:
1. Credit history
2. Employment history
3. Assets including your bank accounts, stocks, mutual
fund and retirement accounts
4. Property value
Based on your specific situation, additional documents
or verifications may be required. To improve your chances
of getting a loan approval:
• Fill out the
loan application completely.
• Respond promptly
to any requests for additional documents. This is especially
critical if your rate is locked or if you plan to close
by a certain date.
• Do not make any major
purchases. Do not buy a car, furniture or another house
till your loan is closed. Anything that causes your debts
to increase might have an adverse affect on your current
application.
• Do not move money into your
bank accounts unless it can be traced. If you are receiving
money from friends, family or other relatives, please
contact us.
• Do not go out of town around
the closing date. If you do plan to be out of town when
your loan is expected to close, you may sign a power of
attorney, to authorize another individual to sign on your
behalf. |
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After your loan is approved, you will be required to sign
the final loan documents. This will normally take place in
front of a notary public. Be prepared to:
- Bring a cashiers check for your
down payment and closing costs if required. Personal
checks are normally not accepted.
- Review the final loan documents.
Make sure that the interest rate and loan terms are
what you were promised. Also, verify that the name
and address on the loan documents are accurate.
- Sign the loan documents.
Your loan will normally close shortly after you have
signed the loan documents. On refinance and home equity
loan transactions federal law requires that you have
3 days to review the documents before your loan transaction
can close.
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