Helpful Hints

1.) Don’t Change Your Income-to-Debt Ratio

One of the main factors the lender considers when qualifying you for your loan is the ratio of your monthly income to your monthly debt. Your lender will check your financials several times before the closing of your loan and transaction. While it is tempting, don’t take out a big loan for improvements to the new place. Even more tempting, avoid signing a lease on a new car.

2.) Avoid Changing Jobs

Employment stability is key. Most lenders prefer having a two-year job history in hand, so making a big career move could slow things down or may squash the deal entirely. Ensuring you have a steady history of employment can offer you more loan options as well.

3.) Don’t Open Credit Cards or Lines of Credit

Opening new credit accounts will again cause your financials and credit score to change and may trigger a new loan approval, jeopardizing your purchase. For now, just add those items to your shopping cart and push the button to purchase once your loan is closed.

4.) Be Present

Make sure to keep in touch with your lender, who will keep you informed of the timeline so you can be readily available to immediately address any last-minute concerns and execute documents as needed.

5.) Be Current

Even though selling and buying at the same time can be challenging, be sure to stay current with all bill payments. Late payments, too, can affect your credit score when financials are checked again just prior to closing the purchase of your new home.