Before you set out to find a home, you need to know how much you can afford and that you’re able to get a mortgage to make it happen.  To do that, you need a mortgage lender to preapprove you for the loan. Here’s a checklist of what you need to get a mortgage preapproval letter.

Documents for mortgage preapproval

Employment and income

The following information is needed for all borrowers signing the loan:

• Pay stubs from at least the past 30 days
• Tax returns (including W-2s) from the past two years
• Bank statements from the past two months to three months – checking, savings, money market accounts
• Employment information – Contact information of employers in the past two years (some employers have an employment verification phone number lenders can call)
• Business records if self-employed
• Other income sources – Bonuses, child and/or spousal support, disability or VA benefits, pension, Social Security or other sources

Assets

• Account statements from the past two months to three months – 401(k)s and/or IRAs, CDs, mutual funds or other investment or retirement vehicles
• Down payment gift letter if applicable
• Information on other real estate if you have multiple properties

Debts

• Loan statements from the past 60 days – Auto loans, credit cards, personal loans, student loans

Credit history

• Credit reports and scores retrieved by the lender lender with your authorization
• Rental history – Contact information for landlords and proof of rent payments, such as canceled checks or paid receipts

Identification

• Driver’s license, Social Security card or other form of ID
• Recent residences and tenure at each