7 things you should NOT do when applying for a home loan!

7 things you should NOT do when applying for a home loan!

This is a list of things to steer clear of when you are seeking to obtain financing for a property. The following items may prove to be a detriment when you wish to move forward with the loan process. 

Don’t schedule movers, contractors or give notice at your current residence without speaking to us first!

Closing dates are never set in stone before you are cleared to close on your financing.  Therefore, we recommend that you not schedule movers, contractors or give notice at your current residence before having your loan cleared to close and a confirmed closing that is verified with our office.  This will help you avoid any unnecessary expenses or inconveniences should any unexpected closing delays take place. 

Don’t pack or ship information needed for the loan application!
Important paperwork such as W-2 forms, divorce decrees, and tax returns should not be sent with your household goods. Duplicate copies can take weeks to obtain, and could stall the closing date on your transaction. 

Don’t move assets from one bank account to another!
These transfers show up as new deposits and complicate the application process, as you must then disclose and document the withdrawal and transfer of funds for each new account. You can consolidate your accounts after closing if necessary. 

Don’t change jobs!
Most lenders will call your employer a day or two prior to your closing to re-verify your employment. If you’ve left your job and are in between employers, your closing will be held up until you can prove that you have started your new job. More often than not, the bank will require you to wait until you provide them with a pay stub from your new employer and this can significantly delay your closing.  

Don’t apply for new credit of any kind!

By applying for new credit (such as credit cards, car loans, etc.), you can make it more difficult to qualify for you new mortgage since you are increasing the amount of debt that you have.  Additionally, each new creditor will check your credit, which can reduce your credit scores and affect your ability to qualify for the best interest rates.  

Don’t run a credit report on yourself!

This will show as an inquiry on your lender’s credit report, which can negatively affect your credit score and your ability to qualify for the best interest rates.  As part of your application, we will need to run a credit report on your behalf, so there is no need to run it again on your own.  

Don’t consolidate your bills!

In certain circumstances, it’s best to not pay off debt or consolidate your bills when you are applying for a mortgage.  Using your cash to pay off debt can actually make it more difficult for your to qualify for your loan, so we strongly recommend that you speak with us before paying off any debts other than normal recurring monthly expenses.  

Thank you Olga Savelov for sharing this info.  For more info about financing or refinancing, you can contact Olga Senior Mortgage Consultant for Universal Mortgage Inc at:

(212) 401-0842 - Tel * (917) 854-4657 - Cell * (646) 808-3721 - Fax

MLS # 173509 osavelov@universalmortgageinc.com

 

Erica Rose Siegel

For more questions or information about buying, selling, renting or investing in real estate anywhere in the Unites States or Canada, please contact Erica Rose Siegel.

 Erica Rose Siegel, CBR, EXIT Kingdom Realty takes pride in ensuring the people she works with are the most educated buyers and/or sellers on the market.  Erica gathers a genuine understanding of her customers and clients needs, customizes a plan to meet their specific goals and time frame, then utilizes her impeccable negotiation skills to get her clients the best possible price under the best terms and conditions. 

Erica' s Siegel is a knowledgeable, trustworthy, dedicated, thoroughly trained, highly recommended REALTOR, who always maintains her ethical integrity and develops lifelong referrals and incredible relationships with the people she works with. Erica Rose Siegel works with a team of extremely productive Real Estate professionals and loves her job!

Erica Rose is passionate about raising funds & awareness to find a cure for cancer.  She recently started the first ever industry team for the Leukemia and Lymphoma Society, after doing her first marathon with LLS in April 2011 and raised over $8,000 for this incredible cause.  In March of 2012, Erica and 12 other people in the real estate insdustry rasied over $33,000 for LLS and crossed the NYC 1/2 marathon. For more info about how to get involved, or to make donations, visit www.RealEstateIndustryRunningForACause.com

If you are thinking about moving, Erica would love to the opportunity to speak with you! She can be reached at 718 809 7808 or at EricaS@exitkingdomrealty.com

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