Full Documentaion Mortgages: Paperwork Needed

There are a variety of mortgage plans out there, many of which require full documentation on your part of your personal financial history. Let's examine the typical documents you will need to provide to the mortgage company as you apply for a loan.

When applying for a mortgage, the amount of documentation required by mortgage providers from borrowers can vary widely. Depending on the mortgage, you could be required to provide full documentation or no documentation or something in between. With the latter category, the mortgage company simply relies upon your credit score and your credit history to determine if you qualify for a loan.

Concerning a full documentation mortage, you will be required to provide the following information about your personal finances:

*Your most recent pay stubs -- the last two or three, typically.

*W-2 forms from the last two tax years.

*Bank statements for the past 2 or 3 months, i.e. checking, savings, etc.

*IRA, 401(k), SEP statements going back as long as 6 months to one year. Quarterly statements are generally acceptable.

Some sub prime lenders [these are mortgage providers who give loans to people who do not qualify for loans from mainstream lenders due to low credit scores] simply allow borrowers to submit bank statements for the past 1-2 years in place of W2 forms and pay stubs. Typically, their loan rates are much higher than they would be with a traditional lender.

Always, your mortgage provider will give you a check off list of documents needed. By following the list closely, you can assure that your loan is processed quickly and accurately.

Copyright 2006 – For additional information regarding Matt Keegan, The Article Writer, please visit his blog for wit, quips, and freelance writing tips.