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Nov 11, 2024 at 4:16AM
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Nov 12, 2024 at 5:27PM
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Co-Buyer Pre-Meeting Checklist

Personal Information & Documentation Checklist

1. Financial Snapshot

✦ Current Credit Score

  • Pull your free annual credit report from annualcreditreports.com
  • Get your FICO score (most lenders require 680+ for joint mortgages)
  • WHY: Lowest credit score in the group often determines mortgage rate; allows group to plan accordingly

✦ Income Documentation

  • Last 3 months of pay stubs
  • Year-to-date income summary
  • Past two years' W-2s or 1099s
  • Last two years' tax returns (all schedules) WHY: Lenders use a 2-year average to determine stable income; helps group understand total purchasing power

✦ Bank Account Statements

  • Last 3 months of all checking accounts
  • Last 3 months of all savings accounts
  • Investment account statements
  • Retirement account statements WHY: Shows cash reserves and down payment capability; lenders verify source of funds

2. Debt & Obligations

✦ Monthly Payment Schedule

  • Student loan payments
  • Car payments
  • Credit card minimum payments
  • Personal loan payments
  • Alimony/child support (if applicable) WHY: Needed to calculate debt-to-income ratio; affects maximum mortgage amount

✦ Future Financial Commitments

  • Upcoming major purchases
  • Expected life changes (job changes, etc.)
  • Planned major expenses WHY: Helps group assess long-term financial stability and commitment ability

3. Down Payment Information

✦ Available Funds

  • Current savings dedicated to down payment
  • Pending contributions or windfalls
  • Gift funds documentation (if applicable)
  • Investment liquidation plans (if using) WHY: Determines feasible purchase price range; affects mortgage terms

✦ Source Documentation

  • 3-month history of source accounts
  • Documentation of recent large deposits
  • Gift letters (if applicable) WHY: Lenders require "seasoned" funds; helps prevent delays in mortgage process

4. Employment & Income

✦ Employment History

  • Current employer contact info
  • Length of time at current job
  • Previous employer info (if less than 2 years at current job)
  • Job title and role WHY: Stable employment history crucial for mortgage approval

✦ Additional Income Sources

  • Side business revenue
  • Investment income
  • Rental income
  • Bonuses/commission structure WHY: Can increase purchasing power if properly documented

5. Personal Goals & Preferences

✦ Living Arrangements

  • Desired move-in timeline
  • Preferred living space requirements
  • Private bathroom needs
  • Storage requirements
  • Parking needs WHY: Helps match property search with everyone's needs

✦ Financial Commitment Level

  • Maximum monthly payment comfort level
  • Emergency fund status
  • Risk tolerance
  • Length of intended stay WHY: Ensures aligned expectations and sustainable commitment

6. Lifestyle Factors

✦ Daily Routine

  • Work schedule
  • Remote work needs
  • Quiet hours preferences
  • Guest policy preferences
  • Common space usage expectations WHY: Prevents future conflicts; helps establish house rules

✦ Property Requirements

  • Location preferences
  • Commute constraints
  • Must-have amenities
  • Deal-breaker features WHY: Narrows property search; ensures satisfaction for all parties

7. Long-Term Planning

✦ Future Life Changes

  • Career plans
  • Relationship status/changes
  • Family planning
  • Education plans WHY: Helps structure buy-out terms and exit strategies

✦ Investment Goals

  • Desired equity building timeline
  • Property improvement interests
  • Rental income potential needs
  • Future ownership goals WHY: Ensures aligned investment objectives

8. Risk Factors

✦ Financial Safety Nets

  • Emergency fund status
  • Insurance coverage
  • Family support availability
  • Secondary income sources WHY: Helps group assess overall stability and risk

✦ Health Considerations

  • Any chronic health issues
  • Health insurance status
  • Disability insurance coverage WHY: Important for long-term planning and risk assessment

✦ Legal Documents

  • Current lease obligations
  • Legal name documentation
  • Power of attorney (if needed)
  • Trust documentation (if applicable) WHY: Prevents legal complications during purchase

✦ Professional Contacts

  • Personal attorney info (if any)
  • Financial advisor contact
  • Tax professional contact WHY: Facilitates professional review of agreements

10. Discussion Topics to Consider

✦ Property Management

  • Maintenance preferences
  • Cleaning schedule expectations
  • Repair c