Help me survive this mortgage process! Documents?!?

[teachag89]

My husband and I have been in the mortgage process for several months now. We just switched lenders after realizing that the lender we'd been dealing with was not prompt and unorganized. We also just made an offer on a house and hopefully will be going head first into our application with the new lender. What documents can I prepare in advance? I understand that different lenders want different things and that stuff will pop up along the way but I'm hoping to be as on top of this as possible. I've printed bank statements along with explanations of cash deposits, have tax forms & W2's, & am working on pay stubs. Do I need 12 months worth of statements for each credit account? I'm sure this is information that I should know, but after dealing with a lender for 5 months while house hunting, we were never told what to prepare. Thanks in advance!

[JAM2013]

I had gathered our last W-2's, paystubs for 1 month of pay and our last two monthly statements before our lender even asked for anything.  We weren't asked to provide anything additional.  However, I'm sure it depends on what type of loan you're doing.  We did a conventional loan with 20% down and have excellent credit.

[StartingOver10]

No, you don't need 12 month's of statements for each credit account.

You need:  1) Pay stubs (30 days); 2) w-2's; 3) 2 yrs tax returns; 4) 2 months' bank statements; 5) 3 months asset statements (401k's, and any other assets you have); 6) copy of drivers license and social security card, 7) copy of divorce decree and property settlement agreement (PSA) if applicable, 8) BK petition and discharge if applicable, 8) contract with all addenda.

Transfer the appraisal from your current lender to the new lender if you have a completed appraisal. The new lender knows how to do this.

As you go through the process, if any of your documentation brings up questions to the u/w, then they may ask for some other document for clairification. Otherwise the above should cover it completely.

[StartingOver10]

One other tip: if a LO doesn't ask for tax returns and you are going for an FHA loan, run away from the LO. They don't know what they are doing and it will cost you time and stress.

Ultimately, at the end of the day, it is a requirement by FHA and the u/w will require it. So, if your tax returns don't reflect actual income, then you will have an issue. This goes for anyone that is applying for a government backed or government insured loan.

If it's not a government insured loan (FHA) then you might not need tax returns depending upon your down payment.