Mortgage Documentation Checklist

Gather all necessary personal information from the borrower, such as full name, date of birth, address, and contact details. This information is essential for identifying the borrower and maintaining communication throughout the loan process.

Confirm the accuracy of the borrower's social security number provided. This step is required to verify the borrower's identity and prevent any fraud or misrepresentation.

Obtain the borrower's credit report from a reliable credit reporting agency. This report will provide valuable insights into the borrower's credit history, including their credit score, outstanding debts, and payment history.

Collect detailed information about the borrower's employment history, including their current and previous employers, job titles, dates of employment, and income details. This information helps assess the borrower's stability and ability to repay the loan.

Request supporting documents to verify the borrower's income, such as pay stubs, tax returns, or bank statements. This documentation is necessary to evaluate the borrower's financial capacity to afford the mortgage payments.

Compile a comprehensive list of the borrower's assets, such as savings accounts, investments, real estate properties, and vehicles. This information helps assess the borrower's financial stability and potential collateral for the loan.

Gather details about the property being purchased, such as the address, purchase price, and type of property. This information is crucial for evaluating the property's value and suitability for the loan.

Request a professional appraisal report for the property being purchased. The appraisal report provides an unbiased evaluation of the property's market value, ensuring that the loan amount aligns with the property's worth.

Organize and combine all the collected borrower and property-related documents into a comprehensive loan application. This application serves as the formal request for a mortgage loan and provides a clear overview for the underwriting process.

Forward the compiled loan application to the underwriting department for assessment. The underwriters evaluate the borrower's financial details, property information, and documentation to determine the loan's risk and feasibility.

Review the underwriting department's assessment and feedback on the loan application. This feedback indicates any concerns, additional requirements, or potential issues that need to be addressed before loan approval.

Take necessary actions to address and resolve any issues or concerns raised by the underwriting department. This may involve providing additional documentation, clarifying details, or proposing alternatives to meet the underwriting guidelines.

Communicate with the borrower regarding the finalized loan terms, including interest rate, monthly payment amount, and repayment period. Obtain the borrower's agreement and acceptance of these terms before proceeding further.

Prepare all the necessary legal documents required for the loan closing process. These documents include the loan agreement, promissory note, deed of trust, and any additional disclosures or declarations.

Share the prepared closing documents with the borrower for review and signature. The borrower needs to carefully read and understand the contents before providing their formal consent by signing the documents.

Collect the signed closing documents from the borrower once they have reviewed and agreed to the terms. These signed documents serve as evidence of the borrower's commitment to comply with the loan agreement.

Allocate the approved loan amount to the borrower's designated account. This step involves transferring the funds and ensuring all financial transactions related to the mortgage are completed accurately.

Submit the necessary paperwork and documentation to the relevant county records office to officially record the mortgage lien on the property. This step ensures legal protection for the lender's interest in the property.

Compile all the finalized and executed loan documents, including the mortgage note, recorded deed of trust, and any other relevant records. Send these documents to the borrower for their records and future reference.