HBR 180 – Why So Much Documentation?

You ever wonder why there is so much documentation required for a home loan?

Clients are often times surprised at the amount of documentation that can be required as part of the loan process. After all, you can go purchase a new car and drive off the same day and in some cases you can do that without even providing a paystub to provide proof of income.

Unlike an auto loan, a home mortgage is for a much larger purchase and for many more dollars than a typical car loan. In the case of a mortgage, in most cases you will need to provide proof of income and assets. Part of verifying income and assets means we may need tax returns, paystubs, W-2’s, bank statements and a host of other financial records to verify the information you have disclosed on your application.

Every piece of information listed on your application (income or assets) will typically have to be verified in an acceptable way. Acceptable documentation is not always what a client may think it is which can lead to some frustrations with the loan process.

Please know we understand this process can be frustrating and will work with you to limit the documentation required when possible. Ultimately our goal is to secure loan approval which will require your assistance and documentation.

If you are in the market to finance a home, my team and I would love to help you.  You can find us online at https://www.danmoralez.com or at 616-931-4629.

If you enjoy the podcast and it has helped you, please take a moment to rate and review the podcast.  Even better yet, let us help you with your next mortgage.  

Dan Moralez
Regional VP – Mortgage Loan Officer
NMLS #709729

All loans are subject to credit approval. Northpointe Bank is an Equal Housing Lender. All Rights Reserved