Buying a home can be so exciting but there are 7 things you should NOT do when you have applied for a mortgage!!!
 
  • Don’t buy or lease an auto!!  Lenders look carefully at your debt-to-income ratio.  A large payment such as a car lease or purchase can greatly impact those ratios and prevent you from qualifying for a home loan.
  • Don’t move assets from one bank account to another!  These transfers show up as new deposits and complicate the application process, as you must then disclose and document the source of funds for each new account.  The lender can verify each account as it currently exists.  You can consolidate your accounts later if you need to.
  • Don’t change jobs!!  A new job may involve a probation period, which must be satisfied before income from the new job can be considered for qualifying purposes.
  • Don’t buy new furniture or major appliances for your “new home.”  If the new purchases increase the amount of debt you are responsible for on a monthly basis, there is the possibility this may disqualify you from getting the loan or cut down on the available funds you need to meet closing costs.
  • Don’t run a credit report on yourself or let anyone else for that matter!  This will show as an inquiry on your lender’s credit report.  Inquires can lower your credit score a little bit and they must be explained in writing.
  • Don’t attempt to consolidate bills before speaking with your lender.  The lender can advise you if this needs to be done.
  • Don’t pack information that may be needed for the loan application.  Important paperwork such as W-2 forms, bank statements, and tax returns should not be packed with your household goods.  Duplicate copies could take weeks to obtain and could stall the closing date on your transaction.

Keep in mind that all these things can be done AFTER your loan has closed.

We’ve also provided at the link below a “Get Ready to Move” checklist to use as you get ready to move.  This will help to make sure nothing gets left out during the process:
We look forward to working with you.  Please do not hesitate to contact us if you have any questions.  Remember, if you need help buying or selling a home, we can match you with one of my referral partners specifically suited to your needs.