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.
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.