WHAT DO YOU NEED TO QUALIFY?

Log Home Living - - PLAN -

Tom Coronato from Cit­i­zens Bank has helped scores of buy­ers se­cure log home loans by help­ing them put to­gether a com­plete pic­ture of their cur­rent fi­nan­cial po­si­tions. Here’s what he says he and other lenders need to help you qualify for cash:

A 700+ credit score is ideal

Two years of W2, 1099 and full 1040 (fed­eral, not state) forms, both per­sonal and busi­ness, plus K-1 form (if ap­pli­ca­ble)

Thirty days of pay stubs or monthly pen­sion ad­vise­ments

Your So­cial Se­cu­rity or pen­sion award let­ter

Two months of com­plete bank state­ments for ac­counts, in­clud­ing sav­ings, check­ing, stocks, etc. — ev­ery page, not just the sum­mary

Your most re­cent quar­terly 401k state­ment and/or other retirement ac­counts

A let­ter of ex­pla­na­tion on any neg­a­tive credit (if ap­pli­ca­ble)

A mort­gage state­ment for your cur­rent home and any ad­di­tional prop­er­ties you own

An es­ti­mated con­tract for your new log home plan to jus­tify the amount you want to bor­row

A con­tract for the land on which you in­tend to build (a HUD-1 prior to Oc­to­ber 2015; a CD af­ter that date)

A 20 per­cent down pay­ment

With this in­for­ma­tion, lenders will look at your in­come-to-debt ra­tio, any large or un­usual de­posits (per The Pa­triot Act) and your work history to help them de­ter­mine your abil­ity to re­pay the loan. If the bank deems you a qual­i­fied bor­rower for the amount you are re­quest­ing, there is plenty of money to be had.

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