Mortgage Application Checklist

Driver's license or unexpired US passport. Confirm the name on the ID matches the name that will appear on the loan application and the purchase agreement — common gotcha: borrower applies as 'Mike' but ID and title vesting use 'Michael'.

Capture via the LOS (Encompass, Blend, or equivalent) — never via plain email or unencrypted form. SSN is required to run the tri-merge credit report and to populate the URLA (1003).

Utility bill, signed lease, or mortgage statement dated within the last 60 days. Borrowers with under two years at current address need full prior-address history to populate the URLA residence section.

Drives downstream documentation needs: VA requires Certificate of Eligibility (COE), FHA needs case-number assignment, USDA needs property eligibility check, jumbo triggers reserve-month requirements. Confirm the program before pulling credit so disclosures map correctly.

Most recent 30 consecutive days, showing YTD earnings. Watch for non-base-pay items (overtime, bonus, commission) that need a 24-month average per Fannie Mae B3-3.1-01.

Most recent two tax years. If the borrower has multiple W-2 jobs, collect from every employer. Gaps over 30 days require a written letter of explanation.

Self-employed (25%+ ownership), 1099 contractor, and mixed-income borrowers all need additional documentation beyond W-2s — two years of personal returns, business returns, and a YTD P&L. Confirm before requesting documents to avoid a second collection round.

Processor will perform a verbal verification of employment within 10 business days of closing per agency requirements. Capture HR phone (not the borrower's manager) and a published company directory listing — fraud risk is highest when the only contact is a cell phone.

For self-employed borrowers: full 1040s with all schedules, two years of business returns (1120, 1120-S, or 1065 as applicable), K-1s, and a CPA-signed or borrower-prepared YTD profit-and-loss. Income is calculated using the Fannie Mae 1084 cash-flow worksheet — qualifying income is rarely the gross.

All pages of the most recent two consecutive monthly statements (not transaction printouts) for every account being used for down payment, closing costs, or reserves. Account holder name, full account number, and bank name must be visible on each page.

Most recent quarterly statement for 401(k), IRA, and brokerage accounts. Underwriting typically counts 60-70% of vested retirement balances toward reserves to discount tax and early-withdrawal penalties.

Any deposit not consistent with payroll requires a paper trail — bill of sale for sold items, copy of the deposit slip for cash gifts, settlement statement for prior home sale. Unsourced large deposits get backed out of qualifying assets and can sink reserve requirements.

Conventional loans allow gifts from family members; FHA allows gifts from family, employer, or charitable organizations. The donor must not be an interested party to the transaction (seller, agent, builder).

Gift letter must state the dollar amount, donor relationship, and explicitly that no repayment is expected. Pair with the donor's bank statement showing the funds and a copy of the wire or cashier's check transferring to the borrower. Without donor sourcing, the gift cannot count toward minimum borrower contribution.

Capture minimum payments — not balances — for credit cards, auto loans, student loans (use 1% of balance or actual IBR payment per agency rules), child support, alimony. Income-based repayment plans on student loans need a current statement showing the actual monthly amount.

All pages signed by buyer and seller, all addenda and amendments included. Confirm the financing-contingency expiration date and the closing date — these drive the LE/CD timeline and the rate-lock window.

MLS detail sheet establishes the listing price baseline; county tax record establishes legal description and current tax assessment. Both feed the appraisal order and the title commitment.

Dwelling coverage must equal or exceed the loan amount (or replacement cost, depending on lender). Confirm flood-zone determination — properties in FEMA zones A or V require flood insurance bound before closing.

HOA dues feed the housing-expense ratio and DTI. For condos and PUDs, the HOA questionnaire and budget review are required for project approval — start the request early; some HOAs take 2-3 weeks and charge a fee.

Borrower-signed authorization for Equifax, Experian, and TransUnion. The middle of the three FICO scores is the qualifying score; for joint applicants, the lower of the two middle scores governs pricing.

Late payments, collections, charge-offs, and any credit inquiry within the last 120 days each need a borrower-signed letter of explanation. Inquiries that resulted in new tradelines must be disclosed and added to the liabilities section of the URLA.

Conventional requires 4 years from Chapter 7 discharge, 2 from Chapter 13 discharge, 7 from foreclosure. FHA is more lenient (2 years Chapter 7, 3 years foreclosure). Short sales and deeds-in-lieu have separate seasoning. Confirm before underwriting submission to avoid a guideline-driven decline late in the process.

Court-stamped discharge order for bankruptcy, trustee's deed or settlement statement for foreclosure or short sale. Underwriter calculates seasoning from the discharge or sale date — not the filing date — so the document date is what matters.

Desktop Underwriter (Fannie) or Loan Product Advisor (Freddie) findings drive the documentation waterfall — Approve/Eligible reduces asset and income documentation requirements, Refer/Eligible triggers manual underwrite. Save the findings PDF to the loan file.

A complete package — URLA, all income and asset docs, purchase contract, AUS findings, signed disclosures — moves to underwriting cleanly. An incomplete package gets suspended and adds 3-5 days to the timeline; this is the most common cause of close-date slippage.

Lock period must extend through the scheduled closing date plus a buffer for delays — typical lock is 30 or 45 days. Lock-extension fees apply if closing slips past expiration. Confirm the borrower received and signed the rate-lock disclosure.

TRID requires the LE be delivered or placed in the mail within 3 business days of receiving a complete application (the six pieces: name, income, SSN, property address, value, loan amount). Late delivery is a cure-able violation but draws regulator scrutiny — verify the delivery date on the LE matches the LOS audit log.