Tagged with " application"
14 Nov
Posted in: Application Assistance, My Ongoing Story
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Self-Employed Documentation

*NOTE: This post will be updated over the next week as I learn more about the process.

When you receive a packet to fill in from your local Community Neighborhood Organization, don’t be alarmed if they send you a packet called Foreclosure Counseling Program. They send this because the information needs are similar, but do call your counselor and ask for the exact list of needs since you will get some clarification on what you need to bring in.

Here is the revised and better articulated checklist of what you need as a self-employed individual applying for HARP Phase II. Use other resources to check against this list, but this will get you started.

1. Call Your Primary Lender

In my case, I am to call Bank of America to see if they will help you with the refinance program. Let them know that you are working with a community neighborhood housing organization to apply for the HARP. The community housing orgs work in tandem with the government and are audited in order to assess the progress of the program, therefore they are good at making sure you have what you need. When lenders know this, it may help you.

2. Check the Estimated Tax & Property Value of Your Home

• check Zillow.com to see your home’s estimated value AND
• find out what your Estimated Tax Value is by going to the website of the county you reside

Here’s an example using my home at it’s current situation (Nov, 2011):
Original Home Value: $206,000 (April, 2005)
Est. Tax Value: $140,000 (see screen shot below)
Zillow: $124,900

3. Gather the Following (Self-Employed)

• 2 years of federal tax returns (profit and loss) with all schedules (1040 ez, etc…)
• year-to-date monthly expenses (monthly profit and loss)
• your latest utility bills (a spreadsheet may be ok if you have one utility bill for address verification)
• homeowner’s insurance statement

*Note: You may not need year-to-date monthly expenses. I was not asked to provide this when Bank of America was ready to refinance me (at a slightly lower rate with $3000 in closing costs — see this post). They indicated that I would only need a CPA to send verification for a few items.)