To apply for a bank mortgage loan, first assess your credit score and financial stability. Secure a pre-qualification from multiple lenders to understand borrowing limits. Gather essential documents, including pay stubs, tax returns, bank statements, and W-2 forms. Submit a formal mortgage application with the chosen lender, providing accurate information on income, assets, and debt. Undergo a property appraisal and underwriting review, which may include a home inspection. Finally, close the loan by signing final documents and paying closing costs.

The mortgage application process hinges on creditworthiness and documentation accuracy. According to the Consumer Financial Protection Bureau (CFPB), 50% of mortgage denials in 2022 stemmed from credit score issues or insufficient documentation. Lenders typically require a FICO score of 620–680 for conventional loans, with scores above 740 qualifying for lower interest rates. For example, a borrower with a 740+ score may secure a 30-year fixed-rate mortgage at 6.5% compared to 7.25% for scores below 620 (Federal Reserve, 2023). Pre-qualification reduces rejection risks by 30%, as applicants with pre-approval are 2.5x more likely to close on time (National Association of Realtors, 2023). Documenting consistent income (e.g., 24 months of pay stubs) and a debt-to-income ratio below 43% aligns with guidelines from the U.S. Department of Housing and Urban Development (HUD). Underwriting delays averaging 15–30 days highlight the importance of thorough preparation to avoid missed deadlines. Thus, systematic preparation and lender coordination are critical to optimizing approval chances and minimizing costs.