Applying for a US mortgage FAQs
You may be planning to use proceeds from the sale for your new home purchase. In such cases, we need to verify that you will have the funds to cover the closing costs.
We can verify this information if we have a copy of your settlement statement (HUD 1) or Closing Disclosure. You will receive these documents once you finalize the sale of your home. Please send us a copy.
The closing of your current home and new home may be scheduled for the same day. Make sure the sale of your current home closes before your scheduled closing for the new home. This way, you will have the required documentation to close on your new home.
Copies of your recent pension check stubs, or statements from your financial institution (if other than UNFCU), will help us verify your income. Some pension or retirement plans do not provide income for life. In such cases, we will also need to verify that your income will continue for at least three years. We can contact your pension or retirement plan provider for this verification. You can also provide us with a social security award letter or a 1099 form for pensions.
We will review copies of your personal federal tax returns for the most recent two-year period. If applicable, we will also require the most recent two-year tax returns for your business. We will not be able to consider any income that has not been reported on your tax returns.
There is no fee to apply. We also offer free pre-approvals.
A pre-approval confirms that you are “credit” approved for a mortgage. This means that we have analyzed your income, assets, and other key factors to determine that you qualify for a mortgage. As a result, the pre-approval also tells you the amount for which you qualified. You can then look for a home within your budget.
Since a pre-approval is evidence of your ability to obtain financing, it is useful for real estate agents and sellers. It indicates that you are a qualified buyer. Contact a mortgage representative to start the pre-approval process.
We do not require an engineer’s home inspection. You may choose to obtain one to have peace of mind that there are no issues with your new home. View our guide for helpful tips on making the most of your home inspection. In the event that the inspection uncovers any issues, you will have time to determine how you want to proceed.
An appraisal is required. It will determine if the price you are paying for the home aligns with its current market value. The cost of the appraisal is covered by you. We have a network of professionals we work with for this service.
Yes. Please include all loans that you may be required to repay. We may ask for additional information regarding the repayment of these loans.
We will consider all income disclosed in your tax filings and pay statements if they are likely to continue.
This depends on the purpose of your mortgage, how you will use the home, and the mortgage product you choose. Contact a mortgage representative to discuss your options.
Tax requirements vary by location. Since this is not our area of expertise, we do not provide tax guidance. We recommend that you consult a tax advisor.