Nashville Mortgage Loan Submisssion Documentation

I have purposefully tried to keep my website from being the “typical” mortgage lender website where you have all the usual drop-downs and buttons, but I do get asked often what is needed to proceed with a loan submission, and figured that many people in need of a Nashville mortgage might have the same question. 

First, the lender wants to know how much money you make.  So you’ll need to gather your most recent 2 paystubs and the most recent 2 year’s worth of W2′s.  If you are self-employed, then you’ll need to provide your most recent 2 years’ tax returns, including all schedules.  Even if most of your income comes from your W2 job, they’ll still need to get the tax returns.

Second, the lender wants to know how much money you have in the bank.  How much you need to bring to the closing table will largely dictate how much you’ll need to prove.  But sometimes your loan approval calls for proof of assets in excess of what you need for closing- this is called “reserves.”  You will generally want to gather your most recent 2 months’ worth of bank account statements for these items.  If you have money in multiple accounts, it’s always safe to send statements for each of them.  For refinances, you normally wouldn’t need to bring money to closing as the closing costs are usually wrapped into your loan.  So if your lender asks for bank statements on a refinance, it’s likely because they need to show your “reserves” that are required for the loan approval.

The lender will also want to verify your employment, so give them the name and number to your Human Resources Department or your immediate supervisor.  Most lenders nowadays will verbally verify your employment a day or two before closing, so you want your loan officer to have this information early on to avoid any last-minute complications or delays.  If you are self-employed, then this is not applicable.

Miscellaneous documentation a lender will need include your homeowner’s insurance policy declarations page, or at a minimum, the name and number of your agent.  If you are refinancing, you might get a discount on the cost of the new “lender’s” title insurance policy if you can locate your original “owner’s” title insurance policy.  It could save you a few hundred dollars, so it’s worth finding .  If you receive or pay any child support or alimony, the lender will want to see a copy of the divorce decree to verify the amount.  Finally, if you have any documentation which might help explain an unusual circumstance surrounding credit history, income, recent large deposits or other situations, you’ll definitely want to find it in case the loan officer might ask for it.  

Gathering all of this information and anything else your Nashville mortgage lender might request will help get you on your way to a smooth closing.

Nashville Mortgage News- LOW to NO Down Options in TN- VA Loans

This article is first in a series of several, highlighting loan programs still offered to prospective buyers in Tennessee who are needing low, or no-downpayment loans.  I’ll be discussing the programs in more detail in future articles, so this will be an overview.   So let’s get to it.

For those who are active-duty or retired military, VA loans still offer 100% financing on purchases.  Rates are competitive with conventional and FHA loans, and these loans do not have monthly mortgage insurance (think PMI), which is a big benefit.  You can get fixed rate loans (30 and 15) or adjustable.  Most people opt for the fixed rate programs, especially with rates historically low.  We’ll go into more depth about VA in a future post.

For the majority of us who aren’t eligible for a VA loan, there are still a few options.  Stay tuned for a brief article about USDA loans in my next Nashville Mortgage News article.