Which document is essential for verifying income during the loan application process?

The Verification of Employment (VOE) is essential for verifying income during the loan application process because it provides lenders with the necessary confirmation that the borrower is employed and receiving a specific income. This document typically includes details such as the borrower’s job title, length of employment, and current salary or hourly wage. It helps lenders assess the borrower’s ability to repay the loan by verifying the income claimed on the application.

The title transfer document, homeowner's insurance policy, and transfer tax receipt serve different purposes in real estate transactions. The title transfer document outlines the ownership transfer of the property, while the homeowner's insurance policy protects the property against risks, and the transfer tax receipt records the payment of taxes associated with the property transfer. None of these documents provide direct verification of income, which is crucial for the loan approval process.