12/29/2022
๐๐ฉ๐ฉ๐ฅ๐ฒ๐ข๐ง๐ ๐๐จ๐ซ ๐๐จ๐ซ๐ญ๐ ๐๐ ๐? ๐๐๐ซ๐โ๐ฌ ๐ฐ๐ก๐๐ญ ๐ฒ๐จ๐ฎ ๐ฌ๐ก๐จ๐ฎ๐ฅ๐ ๐๐ฏ๐จ๐ข๐ ๐จ๐ง๐๐ ๐ฒ๐จ๐ฎ ๐๐จ.
While itโs exciting to start thinking about moving in and decorating after youโve applied for your mortgage, there are some key things to keep in mind before you close. Hereโs a list of things you may not realize you need to avoid after applying for your home loan.
๐๐จ๐งโ๐ญ ๐๐๐ฉ๐จ๐ฌ๐ข๐ญ ๐๐๐ซ๐ ๐ ๐๐ฎ๐ฆ๐ฌ ๐จ๐ ๐๐๐ฌ๐ก
Lenders need to source your money, and cash isnโt easily traceable. Before you deposit any amount of cash into your accounts, discuss the proper way to document your transactions with your loan officer.
๐๐จ๐งโ๐ญ ๐๐๐ค๐ ๐๐ง๐ฒ ๐๐๐ซ๐ ๐ ๐๐ฎ๐ซ๐๐ก๐๐ฌ๐๐ฌ
Itโs not just home-related purchases that could disqualify you from your loan. Any large purchases can be red flags for lenders. People with new debt have higher debt-to-income ratios (how much debt you have compared to your monthly income). Since higher ratios make for riskier loans, borrowers may no longer qualify for their mortgage. Resist the temptation to make any large purchases, even for furniture or appliances.
๐๐จ๐งโ๐ญ ๐๐จ๐ฌ๐ข๐ ๐ง ๐๐จ๐๐ง๐ฌ ๐๐จ๐ซ ๐๐ง๐ฒ๐จ๐ง๐
When you cosign for a loan, youโre making yourself accountable for that loanโs success and repayment. With that obligation comes higher debt-to-income ratios as well. Even if you promise you wonโt be the one making the payments, your lender will have to count the payments against you.
๐๐จ๐งโ๐ญ ๐๐ฐ๐ข๐ญ๐๐ก ๐๐๐ง๐ค ๐๐๐๐จ๐ฎ๐ง๐ญ๐ฌ
Lenders need to source and track your assets. That task is much easier when thereโs consistency among your accounts. Before you transfer any money, speak with your loan officer.
๐๐จ๐งโ๐ญ ๐๐ฉ๐ฉ๐ฅ๐ฒ ๐๐จ๐ซ ๐๐๐ฐ ๐๐ซ๐๐๐ข๐ญ
It doesnโt matter whether itโs a new credit card or a new car, when you have your credit report run by organizations in multiple financial channels (mortgage, credit card, auto, etc.), it will have an impact on your FICOยฎ score. Lower credit scores can determine your interest rate and possibly even your eligibility for approval.
๐๐จ๐งโ๐ญ ๐๐ฅ๐จ๐ฌ๐ ๐๐ง๐ฒ ๐๐๐๐จ๐ฎ๐ง๐ญ๐ฌ
Many buyers believe having less available credit makes them less risky and more likely to be approved. This isnโt true. A major component of your score is your length and depth of credit history (as opposed to just your payment history) and your total usage of credit as a percentage of available credit. Closing accounts has a negative impact on both of those aspects of your score.
๐๐จ ๐๐ข๐ฌ๐๐ฎ๐ฌ๐ฌ ๐๐ก๐๐ง๐ ๐๐ฌ ๐ฐ๐ข๐ญ๐ก ๐๐จ๐ฎ๐ซ ๐๐๐ง๐๐๐ซ
Be upfront about any changes that occur or youโre expecting to occur when talking with your lender. Blips in income, assets or credit should be reviewed and executed in a way that ensures your home loan can still be approved. If your job or employment status has changed recently, share that with your lender as well. Ultimately, itโs best to fully disclose and discuss your intentions with your loan officer before you do anything financial in nature.
๐๐จ๐ญ๐ญ๐จ๐ฆ ๐๐ข๐ง๐
You want your home purchase to go as smoothly as possible. Remember, before you make any large purchases, move your money around, or make major life changes, be sure to consult your lender โ someone whoโs qualified to explain how your financial decisions may impact your home loan.
๐๐ซ๐ฒ๐จ๐ง ๐๐จ๐ ๐๐ซ๐ฌ & ๐๐ฌ๐ฌ๐จ๐๐ข๐๐ญ๐๐ฌ
โThe Informative Oneโ
Download my App โคต๏ธโคต๏ธ
https://app.kw.com/KW2G0Q15O
๐ก ๐๐๐๐ซ๐ง ๐ก๐จ๐ฐ ๐๐ซ๐ฒ๐จ๐ง ๐๐จ๐ ๐๐ซ๐ฌ & ๐๐ฌ๐ฌ๐จ๐๐ข๐๐ญ๐๐ฌ ๐๐๐ง ๐๐ฌ๐ฌ๐ข๐ฌ๐ญ ๐ฒ๐จ๐ฎ ๐ฐ๐ข๐ญ๐ก ๐ฒ๐จ๐ฎ๐ซ ๐๐๐๐ฅ ๐๐ฌ๐ญ๐๐ญ๐ ๐ง๐๐๐๐ฌ
๐ง[email protected]
๐ฑ614-327-1389
https://bryonrogers.kw.com/
Bryon Rogers is a Real Estate Agent, with over 13 years combined of education, professional and hands-on experience in Real Estate. Real Estate is not his job, but definitely his passion. Mr. Rogers received his degree in Real Estate/Property Management along with certifications and professional lic...
