As you embark on your home selling journey, you may have started searching for mortgage loans to acquire financing
for your next home purchase. As you fill out applications, you’ll notice most require employment
verification.  

What is mortgage employment verification?

Before giving approval for a mortgage loan, lenders verify employment to determine if the potential borrower has
enough steady income to pay back the loan. 

During this process, a representative reaches out to your place of employment, and confirms if you work there, your
income and if you’ll continue to work there for the foreseeable future. Usually verification comes back within a few
days upwards to a few weeks. 

How does mortgage employment verification work? 

Information gathered by the mortgage lender is filled onto a Uniform Residential Loan Application, also known as a
1003 mortgage application. 

This application is a requirement from the Federal National Mortgage Association also called Fannie Mae and
Federal Home Loan Mortgage Corporation also known as Freddie Mac. 

In addition to your salary information, a lender will confirm on the application your job title, and your precious
work history especially if you’ve worked at your current company for under 2 years. 

What if you’re self-employed? 

Self-employed individuals seeking mortgage loans are often required to turn in a 4506-T form. This provides a tax
return transcript directly from the IRS which can confirm income amount. 

Even though verification of employment extends to mortgage loan process, it’s vital for mortgage companies to confirm
your income and get you set on the path to homeownership.