Tag Archive | “difference between pre-qualification and pre-approval”

Documents and Procedure for Mortgage Loan Approval

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What to do first for having a mortgage loan approved?

Your first step is to conduct a meeting that can also be termed as an initial interview. In this meeting the possible home buyer and the mortgage lender meets for the purpose to discuss about the potential loan. You have to take with you the necessary information that could verify your income and long-term debts.

Mostly people consider it the most important step to held meeting with the mortgage lender before applying for loans because it helps to determine in advance what price range they can in fact afford and how much mortgage amount they can qualify. This is called a pre-qualification step and it saves you much time and trouble by making particular that is that what you are looking for and in the correct price range.


The documents that you need to take with you at your first meeting with mortgage lender:

  1. A purchase contract to purchase the house (if you have one)
  2. All your bank account numbers, the addresses of your bank branch and the bank statements for the last 2-3 months.
  3. Proofs of employment and documents for income verification, pay stubs, W-2 withholding forms, tax returns for the last two years, divorce settlement papers (if applicable).
  4. Documents that provide the information for other debs such as credit card bills for the last few billing periods, those checks which were drawn for rent or utility bill payments but canceled later, in order to show payment history and amount of revolving debt; and information on other debt, such as car loans, furniture loans, and student loans
  5. If you are a self-employed person then you have to present the balance sheets and tax returns also.
  6. In order to pay your down payment and/or closing costs if you are using a gift letters from your parents, relative or any other organizations, then you have to present those gift letters also. A gift letter simply states that the money that you are utilizing is in fact a gift and you won’t have to repay them.

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September 2011
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