One of the easiest ways to keep your loan on track is to have the right documents ready from the start.

Underwriting is a verification process. The goal is to confirm your income, assets, and overall financial picture so your loan can be approved with confidence. When the right documents are provided early (and in the right format), the process tends to feel smoother, faster, and a lot less stressful.

Below is what most buyers should be prepared to provide, along with a few tips that can help prevent delays.

Proof of Identity

This is the straightforward part, but it matters. Most buyers will need a valid driver’s license or state-issued ID, and your loan application will capture your Social Security number as part of the process.

Income Documents

Income is one of the biggest pieces of loan approval, and the documentation depends on how you’re paid. For W-2 employees, you’ll typically be asked for recent pay stubs (often covering about 30 days) and W-2s from the last couple of years.

Self-employed borrowers, commissioned earners, or anyone with variable income usually needs a bit more detail. In those cases, underwriting often requests personal tax returns (commonly two years), plus business tax returns when applicable. It’s also common to provide a year-to-date profit and loss statement, and sometimes a balance sheet depending on the scenario.

Other income sources may require their own supporting documents as well. For example, Social Security, pension, disability, rental income, or support payments you want included may call for award letters, leases, or documentation that shows the income is consistent and likely to continue.

One helpful tip here: if you already know your income is “non-standard,” tell us upfront. It’s not a problem, it just changes the document plan

Bank Statements and Assets

Underwriting also verifies your funds. That includes the money you’ll use for your down payment and closing costs, plus any reserves that may be required. Most buyers will provide recent bank statements, typically the last one to two months. If you’re using (or need to document) retirement or investment funds, you may also be asked for those statements.

A few things can create extra questions even when everything is perfectly fine: large deposits that aren’t clearly sourced, cash deposits, cropped statements, or screenshots that don’t show the full account details. Transfers between accounts can also slow things down because they create a paper trail that underwriting may need to follow. When possible, it’s best to keep funds steady once we’ve documented them.

Gift Funds

If a family member is helping with funds, that can be a great option, but it needs to be documented correctly. Typically, that includes a signed gift letter and a clear record showing the money leaving the donor’s account and arriving in yours (or being sent directly to closing, depending on the method). The most important advice here is simple: talk to us before money moves. That one step can prevent a lot of avoidable follow-up later.

Credit and Debt Follow-Ups

Even when your credit is solid, underwriting may still ask for clarification on certain items that appear on the credit report. That can include explanation letters for a recent inquiry or a late payment, documentation for a debt that doesn’t match what’s reporting, or proof that a debt has been paid off if it’s needed for qualification.

This isn’t a red flag. It’s just the underwriter making sure every part of the file is supported so the approval is clean.

Housing History (Sometimes Needed)

In some cases, underwriting may want to confirm housing history, especially if you’re currently renting. That might involve landlord contact information, a verification of rent, or proof of on-time payments depending on the loan scenario. Not every file requires this, but it’s good to be aware of it so it doesn’t catch you off guard.

A Few Tips That Help Everything Move Along

• Gather documents early, even before you tour homes seriously
• Reply quickly to document requests, even if it’s “I’ll have this tomorrow”
• Keep big financial changes on pause during the process (new credit, new debt, job changes)
• When in doubt, ask. We’d rather answer a quick question than untangle an avoidable issue later

One Quick Note for After You're Under Contract

Pre-approval is about you: income, assets, and credit. Once you’re under contract, we’ll also collect a couple quick items to keep underwriting moving, like earnest money verification and your homeowner's insurance information.

Bottom Line

Loan approval doesn’t have to feel overwhelming. Most delays happen when documents are missing, incomplete, or submitted in a way underwriting can’t use. A little preparation upfront can make the entire process feel calmer and more predictable.

Ready to get pre-approved with confidence? The Sharpe Mortgage Team will walk you through what you need based on your specific scenario, help you stay one step ahead of underwriting, and keep the process moving.

Call (336) 575-9448 to get started today.