Your trust in Blue Mountain Mortgage is not misplaced.
Call Today! (866) 304-4803
Blue Mountain Mortgage
Mortgage Checklist
customerservice@bluemountainmortgagenc.com
Mortgage Rates*
30-Year Fixed 6.375%
Jumbo Fixed 6.875%
ARM 6.125%
*Rates subject to change without notice
Last Updated
Monday, December 03, 2007
Many financial institutions contradict one another as it pertains to a mortgage loan checklist's order or importance. However, they all agree on the major items that must be available when applying for a loan. You may find some lenders have differing loan requirements than those we mention here.
Blue Mountain Mortgage* hopes this list will assist you when contemplating a mortgage loan. Consider this checklist a good rule of thumb, but remember there could be additional steps you must take prior to applying for a loan.
Because each individual/family is unique, use this checklist as a guideline and do your homework prior to taking the first step in applying for a loan.
Mortgage Checklist
There's nothing worse than applying for a mortgage loan and being ill-prepared. There is a wealth of information on the Internet, so use that knowledge to your advantage. By preparing yourself ahead of time, you ensure a faster and smoother experience when applying for a mortgage. Organize all the necessary documents and jot down any questions you may have encountered while researching the process.
There are numerous documents and information you will need to provide during the loan application process. Use this list as a guideline, but make sure you research your own unique situation thoroughly.
General information needed will include:
► Home address for previous two years
► Social Security Number (s)
► Any real estate agreements you may have
► Bring list questions you have concerning the entire loan application process
There are several documents required when applying for a mortgage loan. Basically you will need to verify your current income, assets, and outstanding debt.
Documents needed to verify your income are:
► Employer information, W-2's, and tax returns for the past two years
► A recent pay stub from your employer
► Names/addresses of all employers for the past two years - might need to explain gaps in employment
► Self-employed individuals - bring profit/loss statements & tax returns for the past two years
► Other avenues of income - alimony, pensions, savings account, etc.
► Bonuses, overtime, commissions, dividends, mutual funds, and any other type of income
Documents will be needed to verify your assets. They are:
► Bank account numbers & balance - checking/savings statements for the past several months
► Address of your bank branch
► Stocks, investments, or bonds you own - include market value
► IRA's, life insurance, retirement policy, or information of this type
► Real estate owned
Documents need to verify your outstanding debts (liabilities) are:
► Names, addresses, account balances, and phone numbers for all monthly expenditures
► Credit card statements from 2-3 months back
► Other loans - car, education, etc. Bring creditor addresses & phone numbers
► Proof of mortgage or rental payments
► Information about your current mortgage lender
► Other debt - alimony or child support, personal loans, etc
► Bankruptcy information if applicable
Knowing your financial status before you apply for a mortgage loan is the smartest way to prepare for the loan application. The following is a general guideline for determining your financial status.
► Obtain a copy of your credit report - begin paying off minor debts
► Create a household budget to track incoming and outgoing money. Use this consistently!
► Document all major purchases - car loan, educational loan, etc
► Are there other factors that might affect your financial status? Aging parents, illnesses, etc.
► Are you planning to change jobs anytime soon?
► Delay making any major purchases which might adversely affect your loan application.
► Leave your money alone; don't move it around during the loan process.
► Know what might affect your loan application - distinguish between wants & needs
For first time home buyers, getting pre-approved for a loan is a good idea. A lender will take an in-depth look at your credit report and income to determine how much of a loan they will approve. If you obtain pre-approval, you'll spend your time house hunting more wisely. You won't be as tempted to look at houses that are out of your price range, knowing that pre-approval amount. By obtaining pre-approval, sellers are more likely to consider your offer as serious, thus making the buying process that much easier.
Pre-approval should not be confused with Pre-qualification. Pre-qualification can be done by almost anyone who has figured the debt to income ratio. Pre-qualified individuals have not had their credit report analyzed either, so make sure you know and understand the difference between these two terms.
Choosing the right loan is vital to the loan application process. Blue Mountain Mortgage strives to provide each customer with sound financial advice that will meet your specific goals, needs, and income. Research the various types of loans and write down any questions you may have so that you know everything up front.
The most common types of loans offered are fixed rate loans, adjustable rate mortgage (ARM), Jumbo loans. You can find more information on these types of loans on our Glossary of Terms page. Learn how much of a mortgage you can afford by comparing the types of loans using mortgage calculators.
The mortgage loan process isn't just about obtaining a loan for a home. There are other costs involved that you need to consider when buying a home. These costs/fees include:
► Credit Report Fee
► Appraisal Fee
► Application Fee
► Lock-in Fee
► Loan origination fee
► Points
► Attorney Fees
► Closing costs
Once the loan has been approved, you will need to sign all the necessary documents to finalize the process. Be sure to read these documents carefully!!! This is a huge financial investment, so take the time you need to read the documents thoroughly, ensuring all information is accurate prior to signing.
Be sure to bring your driver's license and another form of identification to the closing, along with a cashier's check for the down payment and closing costs.
*Blue Mountain Mortgage is registered with the North Carolina Commissioner of Banks and is licensed to conduct mortgage brokering business.
Blue Mountain Mortgage | Apply Online - Start Here | Mortgage Tips
Why Use a Mortgage Broker? | Glossary of Terms | Loan Information
Real Estate Information | Directory of Resources
This site brought to you by TechnoToolkit
