Lenders have to make sure that individuals provides a reliable source of earnings while making fast mortgage payments. To verify a career and you will income, borrowers are usually required to provide previous spend stubs, W-2 forms, and possibly tax returns to own care about-functioning people. Loan providers may also contact the fresh borrower’s boss to verify a position and you can income details.

At the same time, lenders can get assess the fresh borrower’s obligations-to-income ratio (DTI) to evaluate their capability to handle mortgage repayments together with other existing costs. [Read more…]