With all of
the changes in mortgage lending over the last while, the one thing that all
lenders and insurers (CMHC, CG & Genworth) have cracked down on and that is
supporting documents. The best way to look at it is that every piece of
information from your application has to be verified. Here is a list of the
basic supporting documents that will be required when you get your next
mortgage.
· Letter of employment
o Stating your salary, start date and tenure
o Should be on company letterhead
o Should be written within the last 30 days
o Should have contact information for the person who can verify the information
· 2 recent paystubs
o Should be within the last 30-60 days
o The YTD and wage much be a true reflection of the income used to qualify
· Notice of Assessment for the last 2 years if you are part time or receive any overtime, bonuses, or commission
· Proof of downpayment and 1.5% of the purchase price for closing costs via:
o Investment statement
o 90 day history of bank account
o Gift letter from immediate family member along with proof of deposit into account
**All bank statements must have your name along with the account number. If you print your statement online and it does not show both, you can print a separate “account ownership verification” page
**Any deposits over $500 will need an explanation and/or proof of where the funds came from
· Offer to purchase with subject removals and full MLS listing
Here are some additional documents that may be requested based on the situation:
·T4’s for past 2 years
o Some lenders will require these along with the NOA’s. Generally for applicants employed in the trades or with numerous sources of income
· T1 Generals for past 2 years
o Generally self employed clients or to show investment income
· Pension or investment income
· Child Tax Credit / Universal Child Tax / Foster Child information
o They will want to see the history of this income along with proof that it will continue (some lenders will request birth certificates of the children)
· Current mortgage statement
o For all properties with mortgages that will stay in place after the new home is purchased
o To show the equity in the home if it is being sold to use as the down payment
· Current property tax notice
o For all properties owned (lots included)
· Rental agreements
o If rental income is being used to qualify
· Statement of economic rents
· Payout statement
o Generally for refinances to show the payout including the penalty
· Unconditional offer to purchase for current home
o If selling the current home to purchase another
· Form B
o For refinances or switches
o Can be found in your original mortgage package
· AGM Minutes
o If purchasing a condo or townhouse
· Current insurance policy information
· Quotes for improvements
o If using the “Purchase Plus Improvements” program
· Separation agreement
o If separated or divorced to show no child support or alimony owed
o If using child support or alimony as income
· Bank statements showing specific deposits or withdrawals
· Water potability test
o May be required if the property has a well
· Alternative credit sources
o If credit is “thin” they may require a letter from current landlord along with proof of rent being paid on time, 12 month history of bill payments or any continual monthly payment
· Inspection report
o If there is significant damage to the home, the lender may request to see the inspection report
· Credit card or line of credit statements
o Most lenders will use 3% of the balance of your revolving credit to qualify. If actual minimum payment is to be used, credit card statements may be requested
· Proof of debts being paid
o If there are any debt s to be paid prior to the mortgage funding
· Proof of assets
www.christinebuemann.com
· Letter of employment
o Stating your salary, start date and tenure
o Should be on company letterhead
o Should be written within the last 30 days
o Should have contact information for the person who can verify the information
· 2 recent paystubs
o Should be within the last 30-60 days
o The YTD and wage much be a true reflection of the income used to qualify
· Notice of Assessment for the last 2 years if you are part time or receive any overtime, bonuses, or commission
· Proof of downpayment and 1.5% of the purchase price for closing costs via:
o Investment statement
o 90 day history of bank account
o Gift letter from immediate family member along with proof of deposit into account
**All bank statements must have your name along with the account number. If you print your statement online and it does not show both, you can print a separate “account ownership verification” page
**Any deposits over $500 will need an explanation and/or proof of where the funds came from
· Offer to purchase with subject removals and full MLS listing
Here are some additional documents that may be requested based on the situation:
·T4’s for past 2 years
o Some lenders will require these along with the NOA’s. Generally for applicants employed in the trades or with numerous sources of income
· T1 Generals for past 2 years
o Generally self employed clients or to show investment income
· Pension or investment income
· Child Tax Credit / Universal Child Tax / Foster Child information
o They will want to see the history of this income along with proof that it will continue (some lenders will request birth certificates of the children)
· Current mortgage statement
o For all properties with mortgages that will stay in place after the new home is purchased
o To show the equity in the home if it is being sold to use as the down payment
· Current property tax notice
o For all properties owned (lots included)
· Rental agreements
o If rental income is being used to qualify
· Statement of economic rents
· Payout statement
o Generally for refinances to show the payout including the penalty
· Unconditional offer to purchase for current home
o If selling the current home to purchase another
· Form B
o For refinances or switches
o Can be found in your original mortgage package
· AGM Minutes
o If purchasing a condo or townhouse
· Current insurance policy information
· Quotes for improvements
o If using the “Purchase Plus Improvements” program
· Separation agreement
o If separated or divorced to show no child support or alimony owed
o If using child support or alimony as income
· Bank statements showing specific deposits or withdrawals
· Water potability test
o May be required if the property has a well
· Alternative credit sources
o If credit is “thin” they may require a letter from current landlord along with proof of rent being paid on time, 12 month history of bill payments or any continual monthly payment
· Inspection report
o If there is significant damage to the home, the lender may request to see the inspection report
· Credit card or line of credit statements
o Most lenders will use 3% of the balance of your revolving credit to qualify. If actual minimum payment is to be used, credit card statements may be requested
· Proof of debts being paid
o If there are any debt s to be paid prior to the mortgage funding
· Proof of assets
www.christinebuemann.com
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