Almost every slow closing traces back to paperwork gathered late. Here is what to have ready before you apply, and why each item exists.
Everyone
Two months of bank statements, all pages. Underwriting looks for large deposits that need sourcing and for whether your reserves are real. Every page, including the blank ones, because a missing page triggers a request for the whole statement again.
Photo ID and Social Security number. For identity verification and the credit pull.
Two years of address history. Gaps get questioned.
If you are on payroll
Two years of W-2s and thirty days of pay stubs. The stubs need year-to-date totals.
Two years of tax returns if you have any other income, rental property, or significant unreimbursed business expense.
If you are self-employed
Twelve to twenty four months of bank statements for a bank statement program. Push for twenty four if your income is seasonal, since it covers two full cycles and usually produces a better qualifying figure.
1099 forms if you are on a 1099 program.
A CPA-prepared profit and loss if you are going that route.
Your business license or entity documents if you own the business.
If you filed an extension and have no current return, say so up front. It is solvable with the extension form and proof of payment. It only becomes a problem when it surfaces in week three.
If you are buying investment property
The complete rent roll with actual rents, not asking rents.
Every current lease, including month-to-month arrangements.
Twelve months of the property's operating history if it exists.
This is the single most common reason investment files stall. Ask the seller before you remove contingencies.
If you own other property
Mortgage statements, tax bills and insurance declarations for each one.
What not to do while your file is open
Do not open new credit. Do not make large unexplained deposits. Do not change jobs without telling me first. Do not move money between accounts without keeping the trail.
The point
None of this is complicated. It is just easier to gather in an afternoon before you apply than in pieces across six weeks while an escrow clock runs.
Send me the list when you have it and I will tell you what is missing before a lender does.
About the numbers in this article
Any interest rates, monthly payments, down payment figures and repayment terms shown above are hypothetical examples for illustration only. They are not an offer to lend, not a rate quote, and not a commitment. No rate shown is locked or available on request.
The annual percentage rate will be higher than the note rate, because APR reflects financing costs in addition to interest. Both the rate and the APR you are offered depend on your credit score, loan amount, down payment, occupancy, property type, loan term and current market pricing, and will differ from any example here.
Payment examples show principal, interest, taxes and insurance. Your actual payment may be higher once mortgage insurance, HOA dues, flood insurance or other charges apply. Repayment terms shown are 30-year fixed unless stated otherwise.
All financing is subject to credit approval, income and asset verification, and a satisfactory appraisal. Programs, rates and terms are subject to change without notice, and not all products are available to all borrowers.
Ryan Van Til, NMLS #2732776. Pacific Trust Mortgage, NMLS #2573894. Licensed by the California Department of Real Estate. Equal Housing Opportunity. Your binding terms are those disclosed on your Loan Estimate and Closing Disclosure.