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You have been Pre Approved! Now, what you should not do.

By
Real Estate Agent with RE/MAX Executives

 

Hello Everyone,

 

You have contacted a realtor, you realtor sends you to a lender to get pre-approved, you get pre-approved now you are looking for a home. Since the crash of the market some years ago the lending laws and restrictions have changed a lot making it hard to get home loans. With that being said there are many things that you may want to refrain from doing to make the loan process a lot smoother as fast for yourself. From the time you are pre-approved until you close on your new home you should refrain from the following things: Major Purchases, Large Deposit into any of your bank accounts, late payments on credit cards, car payments, or anything that can affect your credit in a negative way.

 

When I say major purchases you may think “Hey what’s a major purchase” I would go as far as to say don’t even buy furniture for your new home until after you have closed the deal. If it’s not necessary don’t do it because your loan officer will contact you and ask for some type of explanation in writing may even ask for you to have it notarized. The same goes for any large deposits and late payments well let’s say you need a 620 for a FHA loan and you’re at a 635. Well that late payment depending on how many lines of credit you have, could drop your credit below 620 and ultimately cost you your home.

 

Comments (3)

Dee Hughes
The Hughes Team with PrimeLending - Raleigh, NC

Hi Anthony,

you are absolutely correct buyers should refram from depositing funds 500dollars or more in their account.  However a cool tip to add is buyers who are currently shopping for a home should make every attempt to pay their credit card accounts down below 30% of the maximum. Also on a final note if buyers are purchasing new construction please be aware of the fact that banks will re-pull credit after 3months.  If a buyer has border line credit is important they take measures to improve their scores as it would be disappointing.

The Hughes Team/With Primelending

www.prequalifywithdee.com

 

 

Jan 26, 2012 12:20 PM
Bill Reddington
Re/max By The Sea - Destin, FL
Destin Florida Real Estate

It is a mean cruel world out ther now. You are so right about pre approvals. Have hasd a buyer quit his job 2 weeks before closing before. What are they thinking?

Jan 26, 2012 12:25 PM
Anthony Jones Jr.
RE/MAX Executives - Woodbridge, VA
CDPE Woodbridge, Lake Ridge, Dumfries Homes For Sa

Mr. Hughes you are absolutely right about the lender re-pulling the credit I have actually lost a deal that way.

@ Bill I don't know what your buyer was thinking!

Jan 26, 2012 01:55 PM