Mortgage loan application includes several
sections
This mortgage loan application includes capture information about you, your finances, and details of your potential mortgage. It’s lengthy and at first glance seems complicated, so in this section you’ll learn about the reasons for each part of the form. All of the personal information on your application is confidential and protected by federal law. There are 10 sections in the mortgage loan application that are described in detail in this chapter.
Ø Type of
Mortgage and Terms of Loan
Ø Property
Information and Purpose of Loan
Ø Borrower
Information
Ø Employment
Information/ Monthly Income and Combined Housing Expense Information
Ø Acknowledgment
and Agreement
Ø Details
of the Transaction
Section
1: Type of Mortgage and Terms of Loan
The information in this section should match the type of
mortgage and mortgage loan terms that you discussed with your loan officer. For
purchases where you haven’t selected a property yet, you can specify the
maximum amount you wish to borrow.
Section
2: Property Information and Purpose of Loan
If you’ve already selected a house, in this section you
will need to provide information about the property, including the address, the
year it was built, whether you
Section 3: Borrower Information
This is
personal information required of you and any co-borrower involved (any
additional borrower who accepts responsibility for paying the mortgage, such as
your husband or wife), including Social Security number, date of birth, marital
status, and contact information (street address and telephone numbers). If you
have lived at your current address less than two years, be prepared to furnish
former addresses for up to seven years.
With this
identifying information, your lender will be able to obtain your credit report,
which is a key factor in helping your loan officer assess your current
financial situation. Want to
purchase or refinance, as well as other details about the purpose of the
mortgage loan you seek.
Section 4:
Employment Information/ Monthly
Income and Combined Housing Expense Information
you need to provide a history of your employment (where you have
worked and for how long), your monthly income, and your monthly expenses (bills
you pay every month), along with recent paycheck stubs and federal W-2 income
tax forms
For the last two years. With this information, your
loan officer can determine your ability to make regular payments on the mortgage
and your capacity to afford the costs associated with owning a home.
Section 5: Acknowledgment and
Agreement
Your signature is your word of
honor. In this section, you sign your name, saying that the information you are
providing is accurate and true to the best of your knowledge.
Section 6: Details of the
Transaction
This section gives the all-important
details of the mortgage loan — presented as estimates — including the purchase price of your home, closing
costs, and the total cost of your mortgage loan (including principal, interest,
and fees), among other information. Easy Mortgage Loan in California officer will complete this area
of the application. Make sure that it agrees with your understanding of the
trans-action, and look closely at the estimated closing costs.