3 Things Homebuyers Must Do To Ensure A Smooth Mortgage Loan Process

Congratulations, you’re buying your dream home!

You’ve done everything right by getting your pre-approval through your lender first. Then, finding your perfect home with your Realtor. Now, you have an accepted contract and are in the throes of processing and underwriting.

This is the MOST critical time of purchasing a home. Making significant changes during this time is the difference in the mortgage underwriter giving your loan a “clear to close” or a denial.

Here are 3 things you absolutely MUST do while buying a home:

  1. Keep Calm And Keep Everything The Same
    Let buying your home be the only significant life change you’re making! That means, it’s the wrong time to: switch jobs, quit your job, start a brand new business, or incur any new debt, such as buying a new car, opening up a new credit card.

    *** even using your existing credit cards for large purchases such as furniture, etc can cause a change in your debt to income ratio that can affect your loan.

  2. Make All Your Payments On Time
    If you’re buying a home, chances are you have good credit. Be extra diligent during the home-buying process, though! When you’re preparing to move, it’s easy to become distracted and overlook normal things. Making a late payment a credit card or other loan can decrease your credit score that are of home concierge website and make you ineligible for the loan program in which you’d been pre-approved.
  3. Don’t Make Large Deposits, or Borrow Money…
    ...without telling your lender, that is. Simply put, lenders must be able to account for every dollar going toward buying your home. If your parents want to give you a gift towards your down payment, that’s great! Federal guidelines means that Mom and Dad will have to prove that it came from them.

So, while you technically can make large deposits during the loan process, just know there is extra paperwork required and you (and the person gifting money, if applicable) will have to prove where the money came from with a detailed paper trail.

Taking these 3 steps while purchasing your home will ensure the mortgage process goes as smooth as possible! At Residential Mortgage, we pride ourselves on building relationships and being advisors to our homebuyers.

If you’re considering buying a home in the near future, now’s the time to get pre-qualified! Click on the link here and complete our easy, online application to start the process of purchasing your dream home today.

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