One of the most crucial aspects of purchasing a home is the financing. Even for an experienced buyer, choosing the right mortgage can be a confusing decision with all the mortgage products available.

The type of mortgage that is right for you depends on many factors. Your current financial situation and credit history, expected change in circumstances or family size, comfort level with the "risk" of an adjustable mortgage payment change, length of time you plan to stay in the home you wish to purchase are all possible considerations.

The best way to sort through the options available is to talk with a mortgage loan officer. Call your bank or mortgage company to set up an appointment for a loan pre-qualification or pre-approval. A pre-qualification is an estimate of the amount of mortgage you are likely to qualify for. It is not binding on the financial institution. A pre-approval is an actual loan commitment prior to a signed purchase agreement on a specific property. I would be happy to supply you with a list of mortgage sources.

Documents Required For Mortgage Loan Application

Pay stubs for 30 day periodInstallment Loan BalancesLast two years:Signed Federal Income Tax ReturnsW-2 or 1099 formsLast three months:Bank StatementsRetirement or IRA StatementsMutual Funds or StocksCopies of:Sales contractHomeowners Insurance InformationLeases on property you ownGift letter and copy of checkDivorce and child support documentsSeparation papersClosing statement on recent property sale

Explanation of:Source of down payment and closing costsLate, slow or no payments

If Self-Employed:Signed copies of last two years' business tax returnsYear-to-date profit & loss statementPersonal financial statement

Your loan officer may make additional document requests depending on mortgage program available and your financial situation.