A loan application is a complex process that we can help make clear and understandable for the best possible outcome.
What should I do if I haven’t found the perfect property yet?
If you haven’t found your dream home yet, you’ll need a pre-approval. This will help you shop in a price range that’s right for you.
You’ll receive a a pre-approval letter online instantly. You can use the pre-approval letter to assure realtors and sellers that you are a qualified buyer. Having a pre-approval will strengthen your offer.
When you find the perfect home, simply call your Loan Officer to complete your application. You’ll have an opportunity to lock in our great rates and then we’ll take it from there.
What is a credit score and how will my credit score affect my application?
Credit scores can range from approximately 300 to 900. Higher credit scores can lower your costs.
Using credit scores lets us evaluate your credit history quickly and objectively. However, many factors go into making a loan decision. We never evaluate an application without looking at your total financial picture.
Will the inquiry about my credit affect my credit score?
Too many credit inquiries can sometimes affect your credit scores. It may indicate that your use of credit is increasing.
The data used to calculate your credit score doesn’t include any mortgage or auto loan credit inquiries that are made within the 30 days prior to the score being calculated. In addition, all mortgage inquiries made in any 14-day period are always considered one inquiry. Don’t limit your mortgage shopping for fear of the effect on your credit score.
Will I be charged any fees if I authorize my credit information to be accessed?
There is no charge to you for the credit information we’ll access with your permission to evaluate your application online.
You will only be charged for a credit report if you decide to complete the application process after your loan is approved.
Can I really borrow funds to use towards my down payment?
Yes, you can borrow funds to use as your down payment as long as they are secured by an asset that you own.
If you are planning on obtaining a loan, make sure to include the details of this loan in the Expenses section of the application.
I'm self-employed. How will you verify my income?
Generally, the income of self-employed borrowers is verified by obtaining copies of personal (and business, if applicable) federal tax returns for the most recent period.
The net income from self-employment that you reported on your tax returns is the income we’ll use to analyze your application. We won’t be able to consider any income that hasn’t been reported on your tax returns. Typically, we’ll document a two-year history of self-employment to verify that your self-employment income is stable.
Will my overtime, commission, or bonus income be considered when evaluating my application?
In order for bonus, overtime, or commission income to be considered, you must have a two-year history of receipt and it must be likely to continue for the next three-years.
If your income is commission earnings, we may need tax returns for the most recent two-years. We’ll use your tax returns to verify the amount of business-related expenses you may have.
I am retired and my income is from pension or social security. What will I need to provide?
We will ask for copies of your award letter, the most recent year’s 1099, or 3 months bank statements showing receipt of income.
Sometimes it will also be necessary to verify that this income will continue for at least three years since some pension or retirement plans do not provide income for life.
If I have income that's not reported on my tax return, can it be considered?
Generally, only income that is reported on your tax return can be considered when applying for a mortgage.
Unless, of course, the income is legally tax-free and isn’t required to be reported.
How will rental income be verified?
If you own rental properties, we’ll generally ask for the most recent year’s federal tax return to verify your rental income.
If you haven’t owned the rental property for a complete tax year, we’ll ask for a copy of any leases you’ve executed, copy of the homeowners insurance policy, and a copy of the most recent property tax bill. In most cases, a two-year history of managing investments properties is required.
I have income from dividends and/or interest. What documents will I need to provide?
You can use interest and dividend income to qualify for your new loan. You’ll need to provide us with your most recent two-years of tax returns.
This will show your history of receiving this income.
Do I have to provide information about my child support, alimony or separate maintenance income?
Information about child support, alimony, or separate maintenance income does not need to be provided unless you wish to have it considered for repaying this mortgage loan.
Will my second job income be considered?
Usually, income from a second job will be considered if a two-year history of secondary employment can be verified.
I've had a few employers in the last few years. Will that affect my ability to get a new mortgage?
Having changed employers frequently is typically not a hindrance to obtaining a new mortgage loan if you made employment changes without having periods of time in between without employment.
We’ll also look at your income advancements as you have changed employment.
I was in school before obtaining my current job. How do I complete the application?
If you were in school before your current job, enter the name of the school you attended and the length of time you were in school in the “length of employment” fields.
You can enter a position of “student” and income of “0.” We may request a copy of your diploma or transcripts.
I'm getting a gift from someone else. Is this an acceptable source of my down payment?
Gifts are an acceptable source of down payment, if the gift giver is related to you or your co-borrower.
We’ll ask you for the name, address, and phone number of the gift giver, as well as the donor’s relationship to you. If your loan request is for more than 80% of the purchase price, we’ll need to verify, in most cases, that you have at least 5% of the property’s value in your own assets.
I am selling my current home to purchase this home. What type of documentation will be required?
If you’re selling your current home to purchase your new home, we’ll ask you to provide a copy of the settlement or closing statement you’ll receive at the closing
to verify that your current mortgage has been paid in full and that you’ll have sufficient funds for our closing. Often the closing of your current home is scheduled for the same day as the closing of your new home. If that’s the case, we’ll just ask you to bring your settlement statement with you to your new mortgage closing.
I am relocating because I have accepted a new job that I haven't started yet. How should I complete the application?
If you will be working for the same employer, list them as your employer. Enter the income you anticipate you’ll be receiving at your new location.
If your employment is with a new employer, complete the application as if this were your current employer and indicate that you have been there for one month. List the employer you are leaving as a previous employer. In the comments section of the application, please list the start date of your new employment.
I've co-signed a loan for another person. Should I include that debt here?
Yes, a co-signed debt is considered when determining your qualifications for a mortgage.
We can ignore the monthly payment of the co-signed debt if you can provide verification that the other person responsible for the debt has made the required payments. We will request copies of cancelled checks for the past twelve months.
I have student loans that aren't in repayment yet. Should I show them as installment debts?
Yes, you need to include the monthly payment amount as installment debt, even if the loan is not in repayment.
Will a past bankruptcy or foreclosure affect my ability to obtain a new mortgage?
If you’ve had a bankruptcy or foreclosure in the past, it may affect your ability to get a new mortgage.
Let us review your entire application. Never assume you do not qualify for a loan.
What is installment debt?
Installment debt is a loan that you make regular payments on, such as an auto loan, a student loan or a debt consolidation loan.
It is a loan that has payments (installments) made over a fixed period of time.