How to sabotage your home purchase
You’ve been pre-approved for a mortgage, found the perfect house, had your offer accepted, and you’re waiting for the act of sale so you can call yourself a home owner. Now is not the time to sabotage your home purchase. Here’s a list of thing to avoid when you’re in between choosing a home and getting the keys in your hot little hands.
Buying big ticket items
Once you’ve been approved for a mortgage, put the ix-nay on shopping. We know. You want new furniture for your new house. You’ll need a new washer and dryer. Or maybe a fancy lawnmower. STOP. Don’t make any big ticket purchases until after the sale or you risk changing your debt to income ratios. And your loan approval.
Moving large sums of money from one account to another
Before you go moving your money around from one account to another, check with your mortgage lender. They are required to document your account balances and changing them could result in delays in closing.
Don’t do it. If it’s unavoidable, talk to your lender. Taking a new position in the same industry may be OK, while deciding that you’re going to be self-employed will not.
Getting married (or divorced)
Louisiana is a community property state. Your marital status is extremely important and changing it can mean more delays in closing while everything gets verified by your lender all over again.
Letting your pre-approval expire
When you get your initial pre-approval, it’s not carte blanche forever. Lenders can only guarantee that you’re qualified for a certain period of time before they need to update your approval. If it’s been more than 60 days since you were approved, it’s time to meet with your mortgage broker again.
Falling behind on your bills
One of the biggest no-nos around, you need to pay every single bill early or on time. Just one late payment could be the difference between closing and continuing to be a renter.