Anatomy of Getting a Home MortgageDocumentation, documentation, and more documentation Presented by Thomas Drasler HomeQuest Mortgage Corp. Conventional – Non Conforming – FHA 714-478-3153 www.DraslerHomeLoans.com
My Background • Experience – Licensed California Residential Mortgage Broker; Passed S.A.F.E. Act National and State of California Certification Exams – HomeQuest Mortgage Corp, a Brokerage Firm Serving California since 1996 – Conventional and Government Loans including FHA, VA, Teacher & State Assistance Loan ProgramsThomas Drasler DRE#1775516 NMLS#297791 – Conventional and Jumbo Loans up to $3,000,000714-478-3153 Direct949-460-7799 Office – Offering Over 100 loan programs from Major HomeQuest Mortgage National, Regional and Community lenders Corporationwww.DraslerHomeLoans.com Conventional – FHA - VA – Prior 25+ Career in Computer Hardware and Software Industry
Loan Qualification – The 5 C’s• Credit History• Capacity - Income• Capital - Assets• Collateral• Character
Prepare to Provide Lot’s of Documentation Income Information Needed: •Last 2 years Personal and Corporate Federal Tax Returns •Last 2 years W2’s, 1099’s •Most recent paystubs covering 30 day period •Written Explanation if employed less than two years or any if gaps in employment •Proof of retirement income, pensions, and/or Social Security •Proof of child support – 12 months of cancelled checks and bank statements showing deposits
Documentation Needed (cont’d) Credit and Asset Information: •Last 3 months asset statements for checking/savings and investment accounts •Most recent quarterly 401k, IRA or retirement account statements •Landlord name, phone and address (if applicable) •Documentation of any obligations due to legal action, i.e., alimony, child support, lawsuit judgments, taxes etc. (if applicable) •Copy of divorce decree (if applicable) •Copy of complete bankruptcy papers including discharge papers & supporting documentation leading up to bankruptcy •Credit explanation letters for any late payments, collections, judgments or other derogatory items
Documentation Needed (cont’d) Large Deposits: • Documentation for any large deposits over $500 other than payroll or gift of fund deposits – requires bank image of deposit and copy of source statements Other Information: • Copy of drivers license • Copy of homeowner’s insurance policy • Copy of rental property lease agreements – if NOT on Schedule E • K1’s FHA/VA Loan Applicants: • Copy of Social Security card • Certificate of eligibility • Statement of military service (DD214)
Lender Requirements You Weren’t Expecting •Eligible Condominiums – no current or pending litigation; no more than 10% HOA dues delinquencies; owner occupancy >50% •Carbon monoxide detectors installed – CA law •Cash reserves – up to 6 months PITI payments •Use of vacating property as a rental – requires 30% equity in prior primary residence •Use of gross rental income – borrowers must have 2 years landlord experience •Deferred Student Loans-monthly payment must be included as a liability
Lender Guidelines You Weren’t Expecting – (cont’d) •Bankruptcy Rule for home purchase eligibility Ch. 7 or 11 – 4yrs/2yrs with extenuating circumstances Ch. 13 – 2 years from discharge date •Foreclosure – 7yrs/3yrs with extenuating circumstances •Short Sales – 4yrs/2yrs with extenuating circumstances
Benefits of Home Ownership• Build wealth• Not wasting money on rent• Pride of personal ownership• More control over finances and ability to manage equity• Tax advantages
Select a Professional Realtor Cheryl Eagleson The Home Search• Understand your Needs• Area analysis• Multiple Listing Service• Showings
Tom Drasler Licensed Mortgage Advisor DRE#1775516 NMLS#297791 www.DraslerHomeLoans.com 714-478-3153 25283 Cabot Road, Suite 106 Laguna Hills, CA 92653“Your Mortgage Consultant for Life” Serving Southern California since 1996 Knowledgeable – Experienced – Ethical Personalized Service – Choice
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