The Mortgage Loan Application - Page 2

First, get a copy of the loan application by clicking here.

The Loan Application

• There are 4 pages in a mortgage loan application
• It is divided into 10 sections
• This tip will discuss Sections IV and V (both on page 2)
• NEVER complete the loan application by yourself. The lender should ALWAYS do it for you.
• If your lender tells you to complete it yourself, or to complete it online, then you need to find a new lender.

Section IV

• Section IV is EMPLOYMENT INFORMATION
• All loan applications require 2 full years of employment history
• Does NOT mean you need to have a job for two years before qualifying for a mortgage, but you do have to tell what you were doing for the past 24 months
• Employed? Unemployed? In school?  Need to include all of these.
• NOT every job needs to be listed – only the jobs needed to qualify for the loan
• However, EVERY self-employed job that lost money (as reported on your tax returns) needs to be listed

Section V

• Section V is MONTHLY INCOME AND COMBINED HOUSING EXPENSE INFORMATION
• Lists income, broken down into base income, overtime, bonuses, commissions, dividends/interest, net rental income, and other types of income
• Each type of income is calculated differently
• Lists present primary residence monthly payment
• Lists the “proposed” monthly mortgage payments

Important!

• You should NEVER complete the application by yourself – either manually or online
• A good lender needs 15 minutes to complete the application
• You should make sure the information is correct – if it is incorrect, cross it out and enter the correct information before signing
• If you feel pressured by the lender, do NOT sign
• GET A COPY of everything you sign!!!

Check out a video of this tip on our web site:

www.mtgsupportservices.com


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