Obtaining a home mortgage can be stressful for first-time borrowers. It’s important to be well-informed about mortgage lenders’ requirements before you go shopping.
Do Mortgage Brokers Look at Bank Statements?
The mortgage process can vary from lender to lender, but a majority of lenders will request your bank statements before they offer you a mortgage cash out refinance. Typically, they’ll want to see your most recent two months’ worth of statements.
The bank statement has a number of uses, from showing how much you have in savings to determining whether or not you’ve opened a new credit account. This is also the chance to let your lender know you’re capable of managing your finances.
Mortgage lenders don’t want to give you a mortgage if you can’t manage to pay it back. They want to know that you’re able to make your monthly payments and pay for your closing costs.
Mortgage lenders will also want to see the source of your money, whether that money comes from your paycheck, a business account, or a savings account. Seeing that you have a steady source of income can be a good indication of your job stability.
There are many ways to obtain a bank statement online, in the mail, or even at your local bank branch. This type of statement is essential to a mortgage broker because it shows you’re not only managing your own money but also that you’re not racking up new debt.
The mortgage industry is a complex one, with lenders looking at all aspects of your personal finances, from your credit score to your bank account balance. Your bank statement is one of the few ways lenders can ensure you have the resources to make your mortgage payments.