I hope this answers your question. Please feel free to contact me if you would like further clarification.
Broker Associate/EcoBroker Certified
Guaranteed Rate - Erin Stojakovic ph:773-220-9094. She is a great lender and knows the business extremely well. Give her a call and let her know I suggested she contact you!
On top of checking your W2, they have you sign a form called a form called a 4506T which allows the lender to obtain a copy of your taxes directly from the IRS. The lax requirements of a few years ago are gone and replaced by very strictly enforced guidelines underwriters use to make sure everything lines up.
Lenders will definitely check your W2 forms. They will double and triple check anything and everything they can. You have to be approved for a loan before, during, and up to the day you close on a property.
Good luck with everything!
You can also find form 4506 here http://goo.gl/AbGprI
You can fill the text fields, add a variety of checkmarks, digitally sign the form and even add pictures. After your pdf form is completed, it can be printed, emailed, faxed or saved on your computer. You can even send fillable pdf forms to your customers, employees, vendors and partners.
If you are buying a home and using lender financing, they sure will check your W-2.
They will also want bank statements, a credit report , verification of all sources of income,and in some cases tax returns going back two or more years.
Best of Luck to You,
Kawain Payne, Realtor