Pre-qualification Documents

Most lenders will require these basic documents:

  • at least 2 consecutive years of work history
  • W-2 forms from the last 2-3 years
  • Business tax return form for self employed individuals
  • Copies of at least one pay stub
  • Copies of the last 2-4 months of bank statements (checkings & savings)
  • Amounts owed on student loans and car loans
  • Addresses where you’ve lived in the last 10 years
  • Documents to verify additional income: child support, pension, etc.
  • the most recent two years of income/tax returns
  • monthly debt: credit cards, student loans, auto loans, etc.

Lenders will use this information to determine your debt-to-ratio income. If your debt is more than 36% of your income you may need to start stretching your dollars or cut back on spending. How do you figure out your debt-to-income ratio?