Getting Preapproved for Home Financing
If you're thinking about buying a home in 2017, it's time to take the steps and get preapproved. Find a good, reputable, LOCAL lender. If you don't have a lender, ask a friend, collegue, or trusted family member to make a recommendation. There are many avenues to take and this is the first, and most important. Arguably, finding a good Realtor to help you ranks right up there with the lender. A realtor is with you through the ENTIRE transaction: searching for the right home, the offer to purchase, home and testing inspections, financing, appraisal, and closing. I digressed. Regardless, knowing where you stand financially from someone you can trust is critical.
What do I need to get preapproved?
Glad you asked. To get started, you'll need the following:
These are the items that will be needed to process your mortgage application:
- Last 30 days of paycheck stubs.
- W2’s & Federal Tax returns 2014 & 2015
- A clear copy of your Driver’s License (for each borrower)
- Most recent 2 months checking or savings statement with all pages.
What should I not do after you get preapproved?
Again, glad asked. Things not to do:
- Do not apply for ANY new credit
- Do not cosign for anyone and this includes your child's student loans
- Do not spend any large amounts of money you would need for closing
- Do not increase credit card limits. The card company may do an inquiry.
- Do not Change Jobs
Anything that changes your financial picture/structure is a No No.
If you have any questions, don't hesitate to contact me or give your lender a call.