Ready to secure a home loan? Avoid these mistakes when preparing to buy your next home and increase your chances of securing the loan!
Follow These Tips to Increase Your Chances of Securing a Loan
Gearing up to buy a home is extremely exciting, yet can be stressful. You have a million things to do on your to-do-list. This includes finding the perfect home and ensuring that you will be able to secure the home loan needed when the time comes. An analysis of your financials does not begin and end with the preapproval process. It is important to understand that your credit and financial status are thoroughly reviewed all the way up until your loan closes. Avoid these mistakes to ensure you can get the home loan you need!
Avoid Credit Checks
If you have been pre-approved for a home loan and ready to pull the trigger on purchasing a home, now is not the time to fix what is not broken. Do not engage in any activities that require credit checks. Every time your credit score is checked, it takes a few points off your credit score. This is a big deal if you were on the line of being approved in the first place.
Do Not Miss a Payment
Missing payments or failing to make payments on time, especially mortgage payments can be detrimental. Lenders want to know that you can make payments on time. Late or missed payments do not instill confidence in lenders that you will make good on your loan.
Avoid Large Purchases
Now is not the time to make a large purchase, such as a vehicle. Making big purchases affects your debt to income ratio. This can prevent you from securing a loan when you are trying to purchase a home.
Do Not Change Jobs
Resigning from one job to take another, raises red flags for lenders. Switching jobs will make lenders question your financial stability and result in refusal or at least delay the approval of a home loan.
When you get ready to buy your next home, partner with an experienced Realtor who can help you navigate every step of the process. Gitta Sells is here to help you with all of your home buying needs. Contact us at 407-330-2181 or firstname.lastname@example.org.
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