Full documentation loan
In the United States, full documentation loan refers to a loan where all income and assets are documented.[1] It is typically referred to as a "full doc" loan in the mortgage industry and is a common type of loan used for financing a home purchase.[2]
Required documentation
[edit]Below is a list of some of the documents that are commonly required when applying for a full documentation loan.[3]
Income verification
[edit]- Proof of Earnings:
- W-2 form
- Recent pay stub
- Tax returns for the past two years
- Proof of Earnings (if self-employed):
- Profit and loss statements
- Tax returns for current year and previous two years
- Any additional income; for example:
- Social Security
- Overtime bonus
- Commission
- Passive income (interest income)
- Veteran's Benefits
Asset verification
[edit]- Address of one's bank branch
- Savings bonds, stocks or investments and their approximate market values
- Copies of titles to any motor vehicles that are paid in full
Debt information
[edit]- Credit card bills for the past few billing periods
- Other consumer debt; for example:
- Evidence of mortgage and/or rental payments
- Copies of alimony or child support
Information regarding desired purchase
[edit]- Copy of the Ratified Purchase Contract
- Proof one is committed to the purchase
- Cancelled deposit check
References
[edit]- ↑ Giannamore, Richard; Osach, Barbara Bardow (April 22, 2009). Navigating the Mortgage Minefield: Your Complete Guide to Avoiding Costly Problems and Finding the Right Loan in Today's Market. AMACOM. p. 110. ISBN 978-0-8144-1370-8.
- ↑ Quail, Rob (September 9, 2010). Lessons from the Financial Crisis: Causes, Consequences, and Our Economic Future. John Wiley & Sons. ISBN 978-0-470-62241-4.
- ↑ Staff. "Documents required for a business loan".