Income Verification Required For Mortgage

What is a no income verification mortgage.

Income verification required for mortgage. In general you ll need to send documents verifying any income you are using to. If you receive monthly rental income you ll need to send copies of your tenant checks from the last two months. To verify your income your mortgage lender will likely require a couple of recent paycheck stubs or their electronic equivalent and your most recent w 2 form. Specifically the mortgage company and its underwriter want to know that you earn enough money to make your mortgage payment each month ideally while having some money left over.

Other names for such mortgages include stated income loans and no doc or alt doc loans but all of them fall under the same umbrella definition with only a few differences. Start by making copies of the records you need to prove your gross monthly income to your lender. You wouldn t borrow more than you have the means to pay back and your monthly mortgage payments are no exception. Verifying income is one of the central parts of the mortgage underwriting process.

Usually this means copying your two most recent pay stubs most recent checking account statement. For base pay bonus pay and commission income equaling less than 25 percent of the borrower s total annual employment income a completed request for verification of employment form 1005 or a. In no income verification mortgages lenders don t require applicants to prove or document a source of income. When a mortgage lender requests a verification of your income they re checking to see if you have the means to make your mortgage payments each month.

What is a verification of income. There are four main types of no income verification mortgage loans each with its own level of requirements. In some cases the lender may request a proof of income letter from your employer particularly if you recently changed jobs.