For most families, the purchase of a home is the most significant investment they make in their lifetime. When you are making that purchase, having your financial affairs in order is essential for securing the most advantageous position to qualify for the lowest rates available. To be sure you are in the most stable position possible, follow the 10 steps below to assure you are on the straight and narrow path to a successful home loan.
Your Ten Personal Steps for Purchasing a Home
1. You should not change jobs, become newly self-employed, or quit your job.
2. You should not buy a new vehicle. (You could end up living in it if financing falls through, should you choose to ignore this step!)
3. You should not use credit cards unnecessarily or in excess. You should not let current credit accounts fall delinquent.
4. You should definitely not think of spending the money set aside for closing costs.
5. You should not leave out any debts or liabilities from your loan application. (Be transparent.)
6. You should not buy furniture on credit before your home loan finalizes.
7. You should not make any inquiries on your credit. Now is not the time to apply for any other credit cards, loans, or application processes that will require a credit check.
8. You should not make large deposits without consulting your loan officer first. No transactions should be made in any amount out of the ordinary from your normal banking activity in deposits or purchases.
9. You should not change bank accounts.
10. You should not co-sign a loan for anyone. (Good advice always, but particularly during this season in the home buying process.)
Following these steps along with having all financial documentation located and sorted in an organized manner should have you on your way to a happy ending for your successful loan application. As always, if any assistance is needed, be sure to contact your real estate expert or mortgage representative. They are always available to help you through this exciting process.