One key step in buying a Knoxville home for sale is applying for a mortgage. For a majority of home buyers, a mortgage is necessary to buy a home. Unfortunately, mortgages these days require a lot more information than they did a few years ago. Here is a breakdown of what documents you need to apply for a mortgage to buy a Knoxville home for sale.
A majority of the documents that you’ll need to provide when applying for a mortgage involve documenting your finances. While you will most likely verbally provide this information to your loan officer, they will want to see the documentation that proves that this information is in fact true.
Here is a breakdown of the documents that you’ll typically need to provide when applying for a mortgage:
-2 Years Worth of Tax Returns
-2 Years Worth of W-2s (or 1099s if self-employed)
-1 Months Worth of Paystubs
-Most Recent Bank Statements
In addition, you’ll need to provide two forms of identification. Most likely, they will want to see your social security card and a copy of your driver’s license.
In certain cases, you’re lender may ask for further documentation in certain cases. Here are a few scenarios where you may be expected to provide further documentation:
-Deposits Over $1,000 (other than paychecks)
-Recent Credit Inquiries
-If funds are being gifted at closing as part of a down payment
-If self-employed, further documentation of income
Applying for a mortgage isn’t always a cake walk, which is why it can be important to sit down with a loan officer early on, so you have a better understanding of what to expect during the process. There are a handful of things that can stall your loan approval process. like applying for lines of credit during the process or spending large sums of money. Should you have any questions during the loan process, it is always best to double check with a loan officer.