How 2 Qualify for a Home Loan.
Thinking of Buying a Home? It’s easy to Qualify for a loan in Hawaii, if you come prepared. It may take a few days to get all of your stuff together, but without them it can be near impossible to get a loan. Plus if you haven’t owned a home or condo in the last 3 years, our bruddah, President Obama, has a deal for you. What? You ask? A $8.000.00 tax credit if you buy a home in 2009.
As grandma always said, “Hard work pays off”, so make sure you have all of the necessary items organized and easily accessible in one folder.
In general, the documentation you will need to qualify includes:
Income & Assets
Pay stubs for the last 60 days.
For the past two years:
Names and addresses of each employer.
W-2s, Statements for each bank, mutual fund,
and/or investment account for the last three months.
Estimated value of personal property and furniture.
If you have made any large deposits to your accounts:
Explanation and source for deposit.
If large deposit was a gift:
Signed gift letter (lender can supply).
Copy of gift check & Copy of deposit receipt.
If you own more than 25% of a business:
Corporate or partnership tax returns.
If self-employed:
Tax returns for the last three years (with schedules).
Year-to-Date Profit and Loss Statement prepared by an accountant.
If you own rental property:
Tax returns for the last two years and current rental agreements.
If you are retired: Pension Award Letter.
If you receive Social Security: Social Security Award Letter.
If you are counting child support as income:
Copy of divorce settlement.
Copy of twelve months of cancelled child support checks.
Debts
Names, addresses, account numbers, balances and monthly payments on all current loans.
Explanation of credit report anomalies, including: Late payments, credit inquiries in the last 90 days, charge-offs, collections, judgments and/or liens.
Bankruptcy filed within last seven years (bring a copy of your bankruptcy papers).
VA Loans
Copy of DD Form 214, Report of Separation.
Other Important Items needed:
Photo ID and proof of Social Security number.
Residence addresses for the past two years.
If applicable, a copy of your divorce decree.
If you are not a citizen, a copy of the front and back of your green card.
Now that you are prepared and have all of the necessary items to get approved for a loan, take your information to a reputable lender. The lender will key in your information in a computer and get you an online approval. Once approved, you know what you can afford and are ready to go shopping. Want to get that $8,000 credit? The good news is that it’s easy to claim your tax credit. Buy and close on a new, “main” home before December 1, 2009 and Submit IRS Form 5405 with your 2009 tax returns in April 2010. That’s it. Your next step, is to call a knowledgeable Realtor, a Certified Residential Specialist, to go shopping for your new home or condo.
Howard Dinits RS CRS
Dinits Realty
808-874-0600 or toll free: 877-434-6487
http://www.BigIslandRealEstate.com