BUY A HOUSE

HOME FUNDING STEPS

TO QUICK AND EASY APPROVALS

Contrary to conventional wisdom, it is not overly difficult to obtain mortgage approval in current times. In fact, the opposite is often true. Take these 10 easy steps to ensure quick and easy approval when you are ready to shop for your dream home:

DO’S & DON’TS OF HOME BUYING

Here are some tips all home buyers MUST follow. They may seem like common sense but buyers can sometimes forget the basics with all the excitement surrounding the purchase of their new home. In the past 30+ years of helping clients buy homes, we have seen buyers who saw their home loan turned down, and their dream shattered a few days before closing because they had bought furniture for their new home before it actually became their home!

These buyers were NOT our clients, but it always hurts when we hear of transactions falling apart  for reasons that could have been avoided. These tips are part of the buyer packet we give all of our clients when we first meet and we always stress that once they get pre-approved and the process started, they cannot do anything that might affect their credit!

  • Don’t change jobs, become self-employed, or quit your job.
  • Don’t buy a car, truck, or van (you may be living in it!)
  • Don’t DISPUTE ANYTHING on your credit report!!!! Any current disputes have to be removed.
  • Don’t use credit cards excessively or let your accounts fall behind.
  • Don’t spend the monies you have set aside for closing.
  • Don’t omit debts or liabilities from your loan application.
  • Don’t buy furniture or open ANY new credit accounts!
  • Don’t originate any inquiries on your credit.
  • Don’t make large deposits without first checking with your loan officer & NO CASH DEPOSITS EVER!
  • Don’t change bank accounts.
  • Don’t co-sign a loan for anyone.
  • Don’t schedule a day off for closing until I have told you a closing date.
  • Don’t turn on utilities until after loan has closed and FUNDED.
  • Don’t schedule movers or rent a U-Haul until your file has been officially CLEAR TO CLOSE and closing has been confirmed in writing by your loan officer.
  • Do disclose all properties and land owned. (Free and clear, inheritance, or has a current lien on property)

If you are in the process of buying a home, remember that your credit must not change or be affected in any way until you actually sign the paperwork, the loan funds, and you get possession of your new home. Lenders will not only look into your credit when you first get pre-approved, they will check it again (and sometimes again & again) before they let you sign the mortgage. If you want to buy new furniture for your home or change jobs, just be patient. There will always be lots of time to do this after the closing!