How to Apply for a Mortgage

Depending on the lender, you can apply in person, over the phone, or online.

Learn how to apply for a mortgage with Bank of America's Digital Mortgage Experience.

What will you need?

If you have one, you and your co-lender will have to give your lender proof of your employment history, credit standing, and overall financial situation. Before filling out the application, you'll want to make sure you have these six things:

• W-2 (for the last two years)
• Complete bank statements of all financial accounts, including investments (from the previous two months)
• Signed personal and business tax returns (all relevant pages and attachments)
• If self-employed, a copy of the most recent quarterly or annual profit and loss statement

Your lender will depend on your circumstances and the type of mortgage you are applying for. 

 Failure to disclose credit issues or withholding requested documents will only delay the process and possibly prevent a mortgage approval. So, it's in your best interest to be upfront about everything related to your finances—display in full.

Determining your interest rate

Things can change between the day you apply for your loan and the day it closes because interest rates fluctuate frequently. When completing your loan application, check with your lender to make sure the terms you've used to create your budget are still valid and to protect yourself from rising interest rates. Think about locking your speed as well.

A rate lock assures your lender, also called a rate commitment, that interest rates and discount points will remain fixed until the rate lock expires. The terms of the rate lock, which include the agreed interest rate, the duration of the wave, and any discount points you choose to pay, will be provided in writing by the lender to you. Find out more about issues of discount.

Of course, it might make sense to postpone locking in your rate if interest rates drop soon. When to freeze your rate is ultimately a decision only you can make. Before the lender can prepare your closing documents, the speed must be closed. Discuss the best choice for your needs and preferences with your lender.