What Documents Are Required When Buying A Home?

Understanding The Types Of Documentation You Will Need When Buying A Home

Have you decided that you are ready to become a homeowner, and wondering what kind of paperwork you will need to gather in order to apply for a mortgage and finalize the process? Purchasing a property can seem overwhelming because of all the steps involved in the process, however, you can help the process run more easily by having the necessary documentation organized and prepared ahead of time. If you are looking to buy a home in West Palm Beach, St. Pierce, or Tampa Bay, Florida, and need assistance becoming a homeowner, CTC Mortgage can help. Read on to learn more about the documents that are required when buying a home to help your mortgage application process run smoothly.

Preparing The Paperwork Needed For Loan Preapproval

Becoming preapproved for a mortgage is one of the first major steps to becoming a homeowner, and this will require a borrower to obtain a copy of their credit report. It is essential to ensure that there are no errors on your credit reports and that all the information on the report is accurate. Since your credit score is directly tied to the amount of financing you receive, a report error could potentially cause your rating to be lower, costing you more money in the long run. Loan preapproval allows a borrower to understand what type of mortgage they will be able to qualify for and how much total funding they can expect to receive with a home loan. In addition to a credit report, you will need to provide verification of income, tax paperwork, and any additional assets you have to get preapproved for a mortgage.

What Types Of Documentation Do I Need To Provide When Finalizing A Home Purchase?

After obtaining a copy of your credit report and your loan preapproval letter, you will want to get other necessary paperwork in order to finalize the purchase and close on the home. Lenders essentially want to know that a borrower can afford to pay back the loan and will want to get an idea of your income and outgoing payments. Therefore, you will need to provide bank statements and paperwork showing any existing debt, such student loans, car payments, credit cards, etc. You will also need to verify your income with pay stubs, share tax documents from the past two years, and proof of any additional assets you listed, such as stocks or bonds, retirement pensions, etc.

Becoming Better Prepared To Help Ease The Homebuying Process

Although it can seem stressful to locate and organize the paperwork to apply for a loan, being well-prepared and knowing what to expect will help ease the process in the long run. If you are interested in buying a home in West Palm Beach, St. Pierce, or Tampa Bay, Florida, contact CTC Mortgage today for a consultation.