Mortgage Broker Beverly Hills | The 5 Steps to Getting a Mortgage Pre-Approval
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Mortgage Broker Beverly Hills – The process of getting pre-approved for a mortgage can be intimidating, but with the right mortgage broker in Beverly Hills, it doesn’t have to be. Working with an experienced, licensed mortgage broker can help you make sure that your application is completed accurately and thoroughly, giving you the best chance of being approved.
No matter what type of loan you are applying for – whether it’s fixed-rate or adjustable, single or multi-family home – it is important to provide accurate information on your mortgage application to get the most favorable terms possible. Your Beverly Hills Mortgage Broker will walk you through the entire process and provide helpful advice so that all required documents are submitted properly and on time. They will also use their expertise to find lenders who offer competitive interest rates according to your individual needs and financial situation.
Quick Tip
If you are married you can both submit one application if you it’s best to fill out separate applications.
Submit all pages of your bank statements from the last two months
Submitting your previous two months of bank statements is a critical part of the process as it allows the mortgage broker to gain insight into your assets and financial standing. Having this information readily available allows for an easier and more efficient application process when applying for a loan from any lender.
By submitting the bank statements, you are providing assurance that you have enough funds to back up your loan request and that you will be able to make timely payments on the mortgage once it’s approved. This data offers insight into what kind of down payment you can afford as well as how much money you have left over after making all necessary payments each month.
Submit the recent pay stubs or earnings statements for the past month
These documents verify your income reported on your tax returns but be aware your pay stubs and earnings statements do not dictate the income used to qualify you for a loan. Unless you are looking to get pre-approved for a specific loan type that qualifies you based on your pay stubs. What dictates your income will be your tax returns. Most loan types will look at a 2-year finding which means they will take an average of your income over the past two years. If you are in need of a 1 year finding to qualify let your mortgage broker know so they can advise you on your specific situation.
Quick Tip
The most important aspect of submitting these documents is accuracy. Make sure if you work in a profession where you can decide to work less or more that you aim to put your best foot forward.
Submit a copy of your driver’s license and social security card
When submitting your driver’s license and social security card they can be pictures taken with your cell phone. However, for the rest of the items such as your tax returns, and bank statements it’s crucial that those be either scanned or faxed. With these types of documents because they are often lengthy and need to be in order we always recommend having a pdf copy.
Submit your past two years of full federal tax returns with any 1099s and W2s
Mortgage lenders use tax returns to verify income and assess the borrower’s ability to pay back the loan. Borrowers must provide two years of personal or business tax returns as well as details regarding any additional income sources, such as rental property income or investments.
Tax returns will also reveal whether an applicant has made any large payments, such as alimony or child support payments which could impact their cash flow and borrowing capacity. Additionally, lenders might request more information about certain deductions that have been claimed on the return in order to ensure eligibility for that particular loan program.
Quick Tip
Connect your accountant and mortgage broker so they can work directly with each other on your behalf saving you time and hassle.
To get answers to other frequently asked questions visit our website and blog section: Mortgage Broker Beverly Hills and Mortgage Broker Beverly Hills Blog