Housing Diaries: Everything but my bowel movements or all the things I have to provide to a mortgage lender

Originally published/last updated on myearlyretirementjourney.com on Feb 20, 2020.

If you’ve ever tried to keep your personal finance from the eyes of others, getting a mortgage is not for you.

From the initial pre-approval to the conditional approval to ultimately granting the loan (hasn’t happened yet), mortgage lenders ask for so much stuff. Some of it doesn’t even make sense. Anything that has to do with how you earn money or spend money or save money, they’re going to ask.

They even wanted to know why I was looking at a property 80 miles away from my work location? So was someone plugging that into Maps somewhere? Who even noticed that?

Here is everything they’ve asked for so far:

• Credit score
• 2 paystubs
• 2 years of W-2
• 2 bank statements

Then, read and sign

* 1003 – URLA
* HUD/V.A. Addendum to Uniform Residential Loan Application
* Borrower’s Certification & Authorization
* Loan Estimate
* 2015 Settlement Service Provider List
* Home-Ownership Counseling Acknowledgement
* Homeownership Counseling Organization List
* Credit Score Disclosure
* Privacy Policy
* Social Security Administration Authorization
* Hazard Insurance Authorization, Requirements and Disclosure
* Fair Credit Reporting Act
* Equal Credit Opportunity Act Notice
* USA Patriot Act Information Disclosure
* Borrower Consent to the Use of Tax Return Information
* NC Credit Property Insurance Disclosure
* FHA Amendatory Statement and Real Estate Certification
* FHA/V.A. Notice to Applicants
* FHA For Your Protection: Get a Home Inspection
* FHA Notice to Homeowner
* FHA Informed Consumer Choice Disclosure Notice
* FHA Important Notice to Homebuyers
* NC Notice of Right to Select Attorney
* Credit Score Information Disclosure (FACT Act) – Individual
* Affiliated Business Arrangements – NC
* Appraisal Waiver
* IRS 4506T – Request for Transcript of Tax Service

* SSA-89 (to verify your identity)

Then..

• Letter of motivation

Then…

-Copy of drivers license

-30 days most recent paystubs (yes, once you cross into the next month and you’re still in the process… you need to keep submitting)

-2019 W2 form

-Most recent bank statement (yes you’re seeing that twice, apparently this is ongoing)

Then a few days later…

• Contact information for the homeowners insurance agent who will be writing the policy for your new home.
• Current rent amount.
• Sign and date a letter confirming that you will occupy this new home as your primary residence.
• Transaction history from your bank account, dated from 1/31 to current, showing the  deposit to the builder being withdrawn. This transaction history will need to have the URL listed on each page (attached instructions).

Still to come…

• Verbal verification of employment (dated within 10 days)
• 2018, 2017, 2016 W2
• Social Security Verification
• Any income, asset, and credit documentation more than 120 days old will require an update
• Credit monitoring until closing date
• Fraud Guard Report
• Receipts of Appraisal
• Verify funds needed to close within 30 days of closing
• Hazard Insurance
• 5 more FHA documents
• Please note we will verify your employment twice prior to closing: once within 30 days of closing and again 10 days prior to closing date.

I asked the internet and it has to do with the mortgage collapse from a decade ago (that I don’t fully understand).

Now mind you, my loan is for < $100k  (whereas my student loan was $300k+ and all I filled out was one form… well I’m sure there’s hidden commentary there).