Documenting AssetsVerification of Assets, Income, Debts

One of the important steps associated with a loan application process is the verification of the down payment, closing costs, and assets.  Additionally, documenting assets and debts.  As a lender, we use this step to determine your qualification as a borrower.

Down Payment and Closing Costs

Documenting that the down payment comes from your checking or savings and that you will indeed have assets over and above the down payment plays an important role in giving the lender confidence in the strength as a borrower which indicates your ability to repay the loan.

It is important to take extra care to document the sources you’ll use for any monies which may be used for the down payment or closing costs.

Listed below are acceptable down payment and closing costs sources:

  • Cash in a bank account
  • 401K / Stocks / IRA / Mutual Funds
  • Proceeds from the sale of another property
  • Gifted funds from an immediate relative

You may collect information regarding your personal assets that add to your net worth and will add value to your credit worthiness.

Common Assets which may be considered in a Mortgage Home Loan Application…

  • Stocks, bonds, mutual funds, 401K, and retirement accounts
  • Personal property estimate such as cars, boats, jewelry, antiques, property, etc.
  • Other Real Estate

Income and Employment

We will confirm your current gross income and have evidence of the stability of your employment.  Many of the documentation requirements will vary due to various factors – including the source of income (hourly, salary, salary + bonus, salary + commission, commission, self-employed, etc.)


When a credit report is obtained with the major repositories, it will list your current debts.  This will give a snapshot of our obligations.  A lender does not want you to be overextended when the mortgage payment is added to the current debt load of obligations.

Click edit button to change this text.