With the current competitive nature of the Real Estate market buyers have to be overly prepared.  If you aren’t one of the fortunate buyers in today’s marketplace able to purchase for cash, lenders have up-ted the anti for you. Quicken Loan’s calls it “Mortgage First”.  Designed to position a buyer requiring a mortgage more competitively, they process all necessary documentation through the underwriting process. Touting this mortgage to buyers as the next best thing to being a cash buyer it does provide you with the certainty you are fully qualified and not just pre-approved. From a sellers perspective that is one more question answered and does strengthen your offer. Though there is still the appraisal process that must be completed for final lender approval, this loan does provide an advantage for buyers requiring a mortgage to purchase their new home.

Guaranteed Rate recently provided a list of documents buyers need to provide their lenders to complete the loan process.  The list of financials that you need to pull together before you buy a home are included below. If you want to be a stronger buyer in this market place, ask your lender if they can process you through underwriting and not just provide you with a “pre-approval.”

Income – W2 Employee

• Most recent two paystubs
• Most recent two years W2s
• Most recent two years Federal Tax Returns (all pages and all schedules)

Income – Self Employed

• Most recent two years 1099
• Most recent two years K1s
• Most recent two years Personal Federal Tax Returns (all pages and all schedules)
• Most recent two years Business Federal Tax Returns (all pages and all schedules)

Assets

• Most recent two months statements from all asset accounts. This would include: Checking, Savings, IRA, Stocks, 401k etc. Complete statements are needed; this means every numbered page even if they are blank. Transaction histories and screen shots will not be accepted by the underwriter.

This article is intended for educational purposes only and should not be interpreted as a recommendation. The information in this article is not an indication of program availability. Always consult with a mortgage professional before making a decision on a home loan