Ultimate Mortgage Application Guide 2025: Step-by-Step Process for First-Time Homebuyers
Navigating the mortgage application process can feel over whelming, especially if you're a first-time homebuyer eyeing that dream home in Orlando or Pensacola. But fear not- with the right preparation, it's a straightforward path to homeownership. At the Avi Mortgage Team, we've helped hundreds secure VA, FHA, and refinance loans with our 5-star service. This comprehensive guide walks you through every step of how to apply for a mortgage, from pre-approved to closing. Updated for 2025's market, we'll cover what you need, timelines, and insider tips to speed things up. Ready to get pre-approved?
Request your free consultation today at (850) 473-0070!
Why Get Pre-Approved Before Applying?
Before diving in the full mortgage application, start with pre-approval. It's like a financial green light from your lender, Avi Bastajian, showing sellers you're serious and helping you shop confidently within your budget. Pre-approval typically takes 1-3 days and involves a soft credit check (no ding to your score). Pre-approved buyers close deals 20% faster!
Benefits:
-Reveals your buying power.
-Strengthens your offer in competitive markets.
Get Started
Step 1: Prepare Your Financial Foundation
A strong application start with organization. Avi Bastajian and his Team review your finances holistically under set guidelines.
Your Income
- Copies of your pay-stubs for the most recent 30-day period and year-to-date
- Copies of your W-2 forms for the past two years
- Names and addresses of all employers for the last two years
- Letter explaining any gaps in employment in the past 2 years
- Work visa or green card (copy front & back)
If self-employed or receive commission or bonus, interest/dividends, or rental income:
- Provide full tax returns for the last two years PLUS year-to-date Profit and Loss statement (please provide complete tax return including attached schedules and statements. If you have filed an extension, please supply a copy of the extension.)
- K-1's for all partnerships and S-Corporations for the last two years (please double-check your return. Most K-1's are not attached to the 1040.)
- Completed and signed Federal Partnership (1065) and/or Corporate Income Tax Returns (1120) including all schedules, statements and addenda for the last two years. (Required only if your ownership position is 25% or greater.)
If you will use Alimony or Child Support to qualify:
- Provide divorce decree/court order stating amount, as well as, proof of receipt of funds for last year
If you receive Social Security income, Disability or VA benefits:
- Provide award letter from agency or organization
Source of Funds and Down Payment
- Sale of your existing home - provide a copy of the signed sales contract on your current residence and statement or listing agreement if unsold (at closing, you must also provide a settlement/Closing Statement)
- Savings, checking or money market funds - provide copies of bank statements for the last 3 months
- Stocks and bonds - provide copies of your statement from your broker or copies of certificates
- Gifts - If part of your cash to close, provide Gift Affidavit and proof of receipt of funds
- Based on information appearing on your application and/or your credit report, you may be required to submit additional documentation
Debt or Obligations
- Prepare a list of all names, addresses, account numbers, balances, and monthly payments for all current debts with copies of the last three monthly statements
- Include all names, addresses, account numbers, balances, and monthly payments for mortgage holders and/or landlords for the last two years
- If you are paying alimony or child support, include marital settlement/court order stating the terms of the obligation
- Check to cover Application Fee(s)
Step 2: Submit Your Mortgage Application
Once pre-approved, submit the full Loan Application.
How it Works: Online or Phone:
Avi Bastjain and his Team will guide you through this process and hold your hand every step of the way.