Are you looking to get preapproved for a loan so you can buy a new home? In this episode of Rescue Me, we're going to talk about all the paperwork you need to collect before you go meet with your lender to get your new home loan. Because homes are selling fast in this market, you want to be as prepared as possible so you don’t miss out on a great deal.

Gathering Your Paperwork For Preapproval

There are a few things you’ll need to have together so you’ll be prepared and ready to jump when that perfect home hits the market. Part of that process is sitting down with a lender and getting pre-approved before you start looking at homes. When you walk into that house and you fall in love with it, you'll want to jump quickly and move fast—and having that preapproval letter will streamline the process.

These are the documents you'll need when you sit down with your lender to get pre-approved. Number one, you'll need your W-2s or 1099s for the past two years. Those are the documents that you get from your employer that you use to file your taxes.

Number two, you’ll want pay stubs for the last two months for each job you have. If you have multiple jobs, you'll have multiple pay stubs. Third, you need proof of supplemental income. Any other monies that you have coming in, get that paperwork together and bring that to your lender.

Number four, you need tax documents for the last two years. Fifth, bring your bank statements for the last three months. If you have multiple bank accounts, bring all those with you. As new ones come in, be sure to set them aside and keep them.  Your lender's probably going to want you to update those as you get new bank statements each month.

Sixth, bring paperwork on any investment accounts that you might have. Seventh, gather statements for any debt that you have, whether it’s credit cards, car payments, student loans, alimony, or child support. Anything and everything you're paying out to people, bring that documentation with you when you meet your lender.

Getting Your Preapproval Letter

Your final piece of documentation should be an easy one: a copy of a driver's license or a state ID. You’ll also want to write down a history of where you've lived for the past two years. That's it. If you walk into your lender with all those documents, there is a good chance you can walk out of that meeting with a pre-approval letter.

As always, if you have questions, please reach out to me and I’d be happy to help. And remember, when you use me to buy a house, you don't just get a great house, you'll be helping a dog get out of the shelter and into their new backyard.