Loan Application Instructions

Document Checklist and Instructions

A properly documented loan application makes your loan process go smoothly. This checklist will help you gather your paperwork.

Complete and sign the residential loan application, Form 1003, and the attached loan info sheet, credit authorization and fair lending notice. Page 4 of the application is a continuation page in case you need additional space for your assets or liabilities. If you make a mistake while filling out the application cross it out, and make a change. Do NOT use whiteout.
If you are salaried: provide W-2's for the previous two years and one month of paystubs. If you are self-employed, provide tax returns for the previous two years, including all schedules, and a YTD profit and loss statement. (Note: provide copies of all requested documents. Do not provide original documents.)
If you own rental property, provide recent rental agreements and tax returns for the previous two years, including all schedules.
To speed up the approval process, provide bank statements for the most recent three months, and recent statements for stock, mutual funds and IRA/401K accounts.
If you are requesting a cash out refinance, provide a letter explaining how you will use the refinance proceeds.
If applicable, provide a copy of your divorce decree and settlement agreement.
If you are NOT a US citizen, provide a copy of your green card (front & back). If you are NOT a permanent resident provide a copy of your H-1 or L-1 visa.
If any borrower has filed bankruptcy, provide the Discharge Notice, Filing and Schedule of Creditors.
If you are applying for a home equity line of credit or loan (second loan), also include your first mortgage note. (This should be with your closing loan documents.)
If you are refinancing, include a copy of a current month's mortgage statement for your current first mortgage, and also for your 2nd mortgage if applicable.
If you have recently moved to a new salaried position, include a copy of your Letter of Employment.
*Important* During your mortgage application, it is crucial that you be aware of how multiple inquiries on your credit may effect your application. (ex: Applying for car loans, balance transfers, increased balances on current liabilities, applying for new credit cards or department store cards...) This may lower your credit scores that are used for the mortgage application. Please refrain from getting your credit report pulled during your application process.
*Important* If you are applying for a cash out refinance, it is important to keep current with all of your monthly payments, of the liabilities that you are planning to pay off, until the end of the mortgage application. (ex: Continue to make mortgage payments, and monthly credit card payments when due, during your mortgage application process.) Not paying them, may be considered as a late payment by your creditors, as they may not be aware of your refinance application, if a payoff was not ordered yet.
During the mortgage application process, your loan officer may request documents from you, and it is advisable to be prompt in gathering the requested documents, especially when you are dealing with contingency dates, rate locks, or closing date deadlines.

FORMULA Mortgage & Realty, Inc. -
Office Phone: 310-734-6925

Your One Stop Mortgage & Real Estate Source

Licensed in the following states: CA

Loans arranged with third-party providers

An Equal Opportunity Company.