Help	How Do I Document My Residential Loan Application?

You may obtain a residential loan for the purchase or construction of your primary residence.  Your residence may be a house, condominium, or cooperative, or a mobile home, recreational vehicle (RV), or boat, but it must be used as your primary residence.

The documentation submitted for the purchase of a house, condominium, or cooperative must clearly show the cost of the residence to which you want to apply the loan, the full address of the residence, and that you are the purchaser.  For a cooperative, the documents must also clearly show that you own shares in a cooperative housing corporation.

The documentation submitted for the construction of a new residence must include evidence, in the form of building permits, receipts, or other third-party documents, that a complete residence will be constructed.  You may not obtain a residential loan to refinance or prepay an existing mortgage, and you may not obtain a residential loan for the renovation of, or the construction of an addition to, an existing residence, or for a buyout of another person’s share of your existing residence.  The purchase of land is not eligible for a residential loan unless combined with evidence that you are constructing an entire residence on the land.

The documentation submitted for the purchase of a mobile home or RV as a primary residence must show that you are the purchaser and must include the sales price, serial number, or other identifying number, and the address where the vehicle will be located.  If the vehicle you are purchasing is an RV, you must also provide a complete description of the vehicle’s facilities and accommodations and a signed statement indicating that it will be your primary residence.

The documentation submitted for the purchase of a boat as a primary residence must show that you are the purchaser and must include the sales price, serial number, or other identifying numbers, and a complete description of the on-board facilities and accommodations.  The documentation must also include a letter from the marina or other location where the boat will be moored and a signed statement from you indicating that it will be your primary residence.

Your primary residence must be purchased (in whole or in part) by you or your spouse.  If it is being purchased with a person other than your spouse, you must indicate your share of the purchase cost(s) on the Residential Loan Documentation Form.

Your documentation must:

• Be from a third party (i.e., someone who is selling the home to you or building the home for you — for example, a building contractor, a real estate firm, or a mortgage company).
   

• Show you or your spouse as the purchaser or builder.
   

• Show the purchase price or construction price.
   

• Show the full address of the residence.
   

• Be dated no more than 24 months before the expiration date on the loan agreement.

• Copy of the complete purchase contract showing the sale price.
   

• Copy of the settlement sheet.  Some costs shown on the settlement sheet may not be eligible for a TSP loan.  Only the contract price and, in general, those costs that can be added to the cost basis of the residence for Federal income tax purposes are eligible for a TSP loan.
   

• Examples of items that can be added to the cost basis include: title charges, such as settlement fees, attorney’s fee, title search fee, title insurance fee, and notary’s fee; government recording and transfer charges, such as deed and mortgage recording fees, and city, county, and state tax stamps; and items payable in connection with the loan, such as fees for appraisal, credit report, and inspection.
   

• Examples of items that cannot be added to the cost basis for a TSP loan include: real estate taxes; loan origination fees, interest charges, and points (whether or not the points are included in the cost basis for Federal income tax purposes); utility expenses; and any costs that have been borne by the seller.  A lease-to-buy option is not eligible unless you are exercising the option to buy.
   

• Copy of the construction contract(s) showing the building cost, if you are having your home built.
   

• Copy of building permits, receipts, assessments, or other documents that clearly demonstrate that an entire residence is being constructed if you are building your home yourself.  In addition, you must provide evidence of costs in an amount at least equal to the loan amount.

Do not send original documents; they will not be returned to you.