Understanding the Mortgage Process

The process for gaining a home loan can be intimidating for those unfamiliar with the process. Working with a lender like Sun West Mortgage makes the process much easier, as they can ensure you have all the proper paperwork in place to assess exactly what you can reasonably afford.

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Gaining Pre-Approval

An important first step in securing your loan is the mortgage pre-approval process. Your lender will ask for general financial information, including income, additional assets, and your credit score. This document does not guarantee a loan, as other factors such as the property value will need to be considered by the lender.

Securing the Loan

Once you have chosen your dream home and gained pre-approval, it is time to apply for your mortgage. This will require you to disclose more detailed information about your financial situation, including:

  • Income: Tax forms from the previous two years, recent paystubs or your year-to-date profit and loss statement for self-employed workers, and retirement, social security, disability, or other income sources if applicable
  • Assets: Bank statements from the previous two months, retirement accounts, stocks and bonds, and gift funds where applicable
  • Other: Mortgage statements from any other owned properties, as well as signed paperwork stating the offer to purchase the property

Remember that your lender is gaining a full understanding of your financial situation for your benefit as much as theirs. All involved need to be sure that the loan can be paid back without causing a strain, so always provide detailed and accurate information.

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