Once you have found the home of your dreams and negotiated a price that was fair for both you and the seller the next step you will take, after securing the loan, will be closing. Closing involves having all the final paperwork signed and put together and securing the keys for your new home.

This can be a very exciting and confusing time. Many people are not familiar with the closing process and if you are one of those people you may not be sure what is going to happen now that you have found your home.

The first step is securing your loan for the terms you need. Once you have that you are half way done!

You should never feel embarrassed or ashamed to ask questions during this time. Your real estate agent should be able to help you with most questions you have unless they are dealing specifically with the certain rules or regulations of a lender. In that case your lender should be able to answer any of your other questions.

Remember more costly mistakes happen by not asking questions! This is your new home and your money so you always have the time for one last question!

Once you are positive everything is as it should be there are certain things you can do to speed up the closing process. In order to close the deal you need to have the loan secured and ready to be paid out to the seller. This can take some time depending on what information your lender needs and how soon you are able to get it to them.

The following things are needed for lenders in all loan cases. Getting them this information as soon as possible will ensure a speedier process to get you in your new home. You can mail or take in the following items.

Pay stubs
Each buyer will need to be able to provide pay stubs. More specifically they need to provide pay stubs that show the last 30 days of income as well as a year to date total listed on them.

Bank Information
You will need to show proof of your banking information. More specifically you will need two months worth of bank statements for each account you and any co-borrowers have.

Mortgage Information
If you already own a home or are re-financing you will need to show your mortgage coupon or statement.

W-2 Forms
Each borrower to be listed on this new loan will need to show at least the last two years worth of W2 forms. This allows the lender to become familiar with the borrower’s yearly income and each personal situation.

Divorce or Bankruptcy
If you have recently been divorced or have gone bankrupt you will need to show proper proof of both occurrences in your life. For divorce you will need to show your divorce decree. For bankruptcy you will need to show your paperwork for that information.

For Renters
You will need to show your rental information. Usually this is as simple as the name, address, and phone number for your current landlord. The lender will need to secure at least a two year rental history from you in order to have the necessary information, so you may need to provide more than one landlord depending on your situation. It is possible that less verification is needed and if that is the case your lender will advise you.

Employer Bank History
In many cases this is not needed. Generally when you receive a pay stub from your employer it will have your employers bank name and information listed on the check. If this is the case then you have nothing to worry about and will not need to provide any more information. If for some reason it is not listed, you will need to provide the name, address, and account number for your employer’s bank account.

VA Loans
If you are applying for a VA loan you will need to provide the following: A Certificate of Eligibility and a DD214 form.

Special Circumstances
If there is anything not listed on this article that you think may be needed your best bet is to take it with you for closing. This will ultimately make for a speedier closing. If you have a credit report issue and have proof to show it has been cleared up, you should bring that proof with you. This is the same for any other information dealing with employment and banking information. Your best bet is to bring every piece of information listed and anything that you think may be needed in your own specific situation.

The majority of lenders will want to be able to give you a stress free borrowing experience. This means they will not rush you through the process and they will not ask for unnecessary information. Everything they ask for is something they need. If you don’t understand why they need it, ask them!

A standard fee for a credit report is always charged. In some cases you will have to pay for this up front and in others it can be added to your closing cost fees. Either way the standard cost for this is $30.00. Occasionally it can cost more depending on situation and if that is the case the lender will let you know.

Good Luck with the home buying process. If this is your first time you may think it is tricky, but you will soon see that it is equally rewarding as well.

If you have any questions about the home buying process please let me know and I will do my best to assist you. My goal is to see you succeed!