Required Mortgage Documentation

Identity (all borrowers)

• Government-issued photo ID (driver's license or passport)
• Social Security number (for credit pull)
• If applicable: green card or visa documentation

Commonly requested income documents — W-2 employees

The AUS finding determines exactly what is required. Many W-2 borrowers with straightforward files do not need to provide federal tax returns.

• Most recent 30 days of pay stubs
• W-2 forms from the past one to two years
• If you have multiple employers: documentation for each
• Federal tax returns (all pages) — may be required depending on AUS findings, income complexity, or program

Self-employed income documentation

Requirements vary by business structure, income history, and AUS findings. The list below reflects common requirements — not every item applies to every self-employed borrower.

• Personal federal tax returns — typically two years (all pages and schedules)
• Business tax returns — typically two years if applicable to your structure (S-corp, partnership, C-corp)
• Year-to-date profit and loss statement — often required; some lenders require CPA preparation
• Business bank statements — may be requested to verify business activity and cash flow
• CPA or accountant letter confirming business is active — required by some lenders
• Bank statement programs (alternative): 12–24 months of bank statements in lieu of tax returns — available through non-QM lenders for borrowers whose tax returns don't reflect actual cash flow

Bonus, commission, and overtime income

Variable income typically requires a history of receipt. The specific history required depends on the program and AUS findings.

• Pay stubs showing variable income components
• W-2s showing bonus/commission/overtime history
• Written verification of employment confirming the income is likely to continue
• Federal tax returns may be required to document the history

Rental income documentation

• Schedule E from federal tax returns (for existing rental properties with a history)
• Current lease agreements
• Market rent appraisal (Form 1007) — for new acquisitions or properties without a rental history

Other income sources

• Social Security: award letter and most recent SSA-1099 or benefit verification letter
• Pension/retirement: award letter and most recent 1099-R
• IRA/401(k) distributions: account statements showing distribution history
• Alimony/child support: divorce decree and bank statements showing consistent receipt
• Investment income: 1099s and tax returns showing two-year history

Assets

• Most recent 2–3 months of bank statements (all pages, all accounts)
• Most recent 2–3 months of investment and brokerage account statements
• Most recent retirement account statements (401k, IRA)

Gift funds and complex asset documentation

Required when down payment or closing cost funds come from non-payroll sources.

• Gift letter from donor (signed, stating no repayment is required)
• Donor's bank statement showing the withdrawal
• Documentation of the transfer into the borrower's account
• Business funds used for down payment: additional documentation to confirm the withdrawal doesn't impair business operations

Employment verification

• Contact information for your employer's HR department
• If recently changed jobs: offer letter and first pay stub
• If gap in employment: written explanation

Property (once under contract)

• Fully executed purchase contract
• Homeowner's insurance binder and agent contact
• HOA contact information and monthly dues amount (if applicable)
• Well/septic documentation (if applicable)

Additional items that may be requested

• Explanation letters for credit inquiries, late payments, or collections
• Bankruptcy discharge papers (if applicable)
• Divorce decree (if applicable)
• Documentation for large deposits not from payroll