Meeting with the lender
Ok. So you’re ready to meet with a lender/loan officer to officially find out what you qualify for. Here’s what you need to bring to that appointment and why.
Here’s what you can keep in mind:
The first “2” is the last two years’ tax returns. This gives your lender all the ins and outs of your deductions, any other income that might be a 1099 in addition to a W-2. Like if you have an online side hustle or if you worked more than one job, all of that will be contained in the tax paperwork.
The second “2” is your last two paycheck stubs. (most of the time you can download these if you don’t get an actual hard copy checkstub).
And if you’re married, you will both need to bring those last two check stubs into the meeting because you’re both trying to get on the loan, presumably.
This helps the lender see if you have any of your wages garnished by the IRS or an ex-spouse, for example. Nothing to be concerned about most of the time, because those usually have an end date in the future, so it gives the lender all of the cards in your deck.
The third and last “2” is your last two months’ worth of bank statements. That also gives your lender a clear idea of what you have coming in and going out, your savings balances as well as all checking account activity.
What will you know when you’re done?
At the end of the appointment, you should know if you need to do some credit repair, what your timeline is for purchasing and how much you qualify to buy
Keep in mind, this is only the first part of the paperwork needed to buy a home, but consider this your jumping off point.
Word of advice: do NOT max out your loan amount. If you’re qualified for a $300,00 house, begin your search at houses with a $275,000-280,000 list price. This will give you leverage to make a full-price offer if you need to make a counter offer.
If you start at your max approved loan amount you can lose all of your bargaining power in one shot.
Even though this is short and sweet, I hope you found it valuable. Let me know if you need help finding a trusted lender. Or if I can answer any other questions for you, leave a comment below!
Until next time,
Bakersfield Real Estate Group, AgentCor Realty
5601 Truxtun Avenue, Suite 150
Bakersfield, CA 93309
“Welcoming you to Bakersfield life, as well as, your new home!”
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