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Old 08-11-2021, 11:59 PM   #613 (permalink)
JSH
AKA - Jason
 
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I had my terms backwards. Prequalified is useless, just an estimate without verify anything. Preapproved is what you need to be taken seriously and that involves what you have been doing. Providing pay stubs, w2s, tax returns, bank statements, etc to prove you aren't lying on the application.

Banks care about 1099 vs W2 because 1099s are for people that are self employed. Self employed people tend to have greater swings in income than people with a steady W2 job.

Getting preapproved involves a hard credit inquiry on your credit history so you should be careful how many times you do it with different banks. Too many can reduce your credit score and the bank will check your credit score again before they close to be sure you haven't been up to any funny business during the process. I know people that have been deny the loan after preapproval because they did something to ding their credit. (This is one of the many reasons sellers prefer a cash sale to people getting mortgages)


If the school used ADP for payroll you could look up your W2 on the ADP website. Otherwise you are out of luck if the school won't give you another one and you lost the paper copy. You'll have to pay the IRS. (You should keep all your W2s and 1099s and other tax records for at least 6 years)

If you are preapproved for a mortgage large enough to purchase the house on Sandstone I would set up a time with the realtor to check it out. It may sell but it is good to see at least a few houses in person to see what your price range will buy. Houses always look better in pictures than in person.
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