7 Things NOT To Do While You Are Buying A House
Have you recently been pre-approved for a mortgage, or do you plan to start house-hunting for that perfect home? Do you want to ensure that your home-buying process simple and that everything goes as planned? Then make sure you follow these 7 Things NOT To Do While You're Buying A House.
1. Don’t lose the money trail.
It's important to know where your money is coming from and where it's going. Your mortgage lender is going to request a lot of documents in the process, be prepared!
2. Don’t spend your savings.
There are a lot of expenses when it comes to purchasing a home - you need to make sure you don't spend your savings account in the process! Some expenses you need to be prepared will include your down payment, home inspection, appraisal, and some additional buyer closing costs - don't worry our Agents are Pro's, they can walk you through everything, in detail.
3. Don’t make late payments.
You need to show your mortgage lender that you are worthy of receiving a home loan, and will make your payments....so, don't miss any bill payments you currently have!
4. Don’t open or close credit accounts.
Opening and closing credit accounts can cause your credit score to drop or fluctuate. Some people feel it makes sense to close accounts, or transfer balances to have less lines of credit open; however, DO NOT DO THIS! It can affect your credit score...when in doubt, ask your lender.
5. Don’t switch jobs.
Mortgage lenders want to see that you have maintained a steady job. Although you could be getting a raise, or setting yourself up for future growth, we recommend being patient and waiting until after the home-buying process.
6. Don’t buy furniture yet.
This one is tough. You’ve found the home you want or could even be under contract, and we know you’re getting so many ideas for what new furniture you want...but, wait until closing on your home! When you make large purchases or create new lines of credit during the home-buying process, it creates potential obstacles for getting to closing.
7. Don’t buy a new car.
Would you rather live in that new car, or a new home? Unfortunately, auto loans can affect your ability to purchase a home no matter how big or small the sales price. Lenders account for all liability payments the same...it’s not what you owe, but what you pay monthly that counts.