Preparing to Buy a Home
During the loan process your credit, income and asset situation is vital to maintain. Here is a non-exhaustive list of some “good ideas and bad ideas,” to follow once you have decided to buy a home. Please read carefully.
GOOD IDEA… staying current on all existing credit accounts.
BAD IDEA… applying for any new credit, opening any new credit accounts, applying for a higher credit limit or closing any currently opened credit accounts.
GOOD IDEA… maintaining normal spending habits
BAD IDEA… making any large purchases on your current credit accounts or increasing your spending.
GOOD IDEA…providing all documents requested up front and keep all original paystubs, bank statements, tax returns and other financial documentation handy as you receive it. Please keep in mind you may be required to update your loan file during the process.
BAD IDEA… co-signing for anyone else for a home or car loan or any other type of debt.
GOOD IDEA…notifying us if you are planning to receive any gift funds for the down payment or any other costs.
BAD IDEA…Disputing any credit amounts on your credit report before or during the loan process-disputed accounts can alter your credit score.
GOOD IDEA… notifying us if you have any financial expenditures coming up during our loan process that will lower your assets.
BAD IDEA…making any type of employment changes or compensation without checking with your lender.
GOOD IDEA… notifying us if you have any upcoming employment changes, raises, promotions, change in pay structure, etc.
BAD IDEA…. closing any current bank accounts, opening any new bank accounts, or more money around between accounts.
GOOD IDEA… notifying us if you are going on vacation at any time during the process.
BAD IDEA… depositing any cash to your bank account without contacting your mortgage consultant to discuss the requirements of documentation and whether or not it will be accepted as funds for closing.
GOOD IDEA… being flexible and make yourself available for your home inspection and your closing appointment.