What FHA Loan Documentation Will Your Loan Officer Need from You?
Your FHA loan application can include a variety of documentation that is necessary to help your loan is processed by the lender. In an age where privacy–particularly on-line privacy–is a bigger problem than ever, it’s not surprising that some borrowers are concerned with the collection of particular private data in connection with a brand new line of credit. Comprehending what data is needed and why can help some FHA loan applicants be comfortable with the process.
Any big line of credit requires extensive review of credit history, employment, income as well as other information. In regards to FHA mortgage loans, what’s required of and by the lending company so as to get a loan approved?
In least, and regardless of the kind of personal data submitted, FHA loan rules require all documentation to be present or recent. According to FHA loan rules printed in HUD 4155.1, “Lenders must obtain the most recent files required to perform the mortgage credit analysis. ‘Most recent’ identifies the latest record offered at the time the loan application is made.”
The rules printed in HUD 4155.1 comprise a checklist of documentation the lender must collect which comprises the following:
Proof of Social Security Number
Confirmation of deposit
Affirmation of employment (VOE)
Alternate employment instruction manual
COMPLETE Scorecard Accept/Approve and Send feedback for employment affirmation
The employment verification your lender needs could include copies (not originals) of most recent pay statement your W2s, along with other files. You may also have to furnish copies of your newest bank statements, including other applicable details as well as deposit amounts as may pertain to the sources of earnest money and down payment funds. FHA loan rules are strict about the sources of those funds, along with your lender will need to have evidence as to their sources.
Borrowers could be requested to sign releases or statements permitting the lending company to obtain credit and employment data-this is a typical practice in the business. What’s not common is asking borrowers to sign a record that is incomplete or a blank page. Usually do not do this–instead, contact the FHA right to talk about the specific situation.