Thursday, May 12, 2011

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


Did you know that Debbie and Chris Thomas, The Mortgage Experts, have each been awarded the prestigious 2011 FIVE STAR Mortgage Professional designation by 5280 magazine? That makes us a TEN STAR team! 50,000 recent home buyers ranked both of us in the top 5% for overall customer satisfaction and mortgage knowledge. Want to be satisfied when you get a mortgage? Call The Mortgage Experts.


Getting a loan approved is easy - if you know what to do. The Mortgage Experts know what to do!!!

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