The best part about closing on your new home is checking off the boxes. The loan is approved. The contract is signed. The title is clean. The closing date is set and all that is left is the actual closing and getting your keys in your hand! All is going according to plan until all of sudden it isn’t.
A large misconception is that a person’s credit is not monitored after they have been approved for a mortgage. However the bank continues to monitor your credit until the loan closes. Deals have fallen through because someone had quit their job, so they were not receiving a steady paycheck to show that they could handle the payments. They have fallen through because a person had bought a new car or other big ticket items that started draining finances.
Let’s talk about the 10 things not to do when applying for a mortgage:
- 1. Don’t make expensive purchases.
- 2. Don’t get a new job or reduce your hours.
- 3. Don’t switch banks or transfer money.
- 4. Don’t disregard your lender’s requests for information.
- 5. Don’t be late on credit card, installment or utility payments.
- 6. Don’t neglect to list a debt or other significant items on the application.
- 7. Don’t start any new legal proceedings.
- 8. Don’t co-sign a loan for anyone.
- 9. Don’t make large deposits to accounts if the money cannot be tracked on paper.
- 10. Don’t spend the money needed for closing prior to closing.
All of these examples are easy to avoid before closing. It’s important to be open and communicative with your contact at Wisconsin Mortgage Corporation. For example if you receive a large sum of money from family members to help with the down payment but there is no record of such a considerable deposit anywhere. Your lender can very easily document this but will need to know the details.
You can be in contact with your Shorewest, REALTOR® at any point during the closing process if you have a question. Your loan officer at Wisconsin Mortgage Corporation is a great resource for handling all of the financial issues that come with buying a home. At the end of the day, you are now a home owner which is the most exciting part! Just make sure to watch your finances in the final moments up until closing. #ShorewestRealtors #Closing #WIMort