Welcome to my World!

Welcome to my world!

I am working with a buyer on a property out of state. They were supposed to close on the 5th and it is now the 14th and we just received loan documents yesterday.  The buyers are a bit frustrated to say the least. They were taken back a bit on the "details" and "fine tuning" needed to get this file to loan docs.

I live in this world - I eat, breathe, sleep in this real estate world, trust me when I say this isn't any news to me! I have seen many things in my 12 years in the real estate market. If it hasn't happened yet, be sure it will happen!

Let me forewarn  you, when you are thinking of buying a home, that the process is not easy. I often tell my buyers that if the lender asks for a blood sample, just give it. No, they don't really ask for blood samples,  but some of the things that come up are just as ridiculous!

Here are some tips to help keep a transaction going as smoothly as possible when purchasing a home:

1. Do inspections as early as possible and address the details of the inspections quickly. Who is paying for the inspections? Who is completing the repairs? What does the lender require? Etc. 

2.  Do not make any large purchases - in fact don't make ANY purchases out of the norm. The lender is going to require two months bank statements and will scrutinize your every move. AND, if the transaction takes a little longer than usual they may ask for another statement.

3.  Don't move funds from one bank to another.

4.  Don't make any deposits that are out of the normal. Any deposit besides payroll will require you to write a letter of explanation as to where the money came from. If you have mattress money, keep it there. If cousin Bob pays you the $1000 he borrowed from you three years ago, don't deposit it!! Keep things simple! When you have the keys to your home you are free to do what you want with your money.

5. Do not open or close credit accounts. Yes, I said close. The length of time an account is open has a factor on your credit score, you may close one that was open a long time and that will make your score go lower. Lenders have the authority to run your credit again just before closing, and do! I have had buyer lose their home because their credit fell just a few points below where it needed to be. Even just 1 point can cause havoc and potentially kill your purchase all together!

6. Don't change jobs!  One of the requirements for obtaining a home loan is job history. Most lenders require a 2 year job history, in the same job or same line of work.

Bottom line, don't do much of anything regarding finances without first talking to your mortgage professional.

When your mortgage professional or real estate agent tells you these things remember they don't make the rules. They are just looking out for your best interest. It may seem ridiculous and you want to question things but DON'T! Either you want the keys to your new home or you don't, its as simple as that.

If you are thinking of buying a home in the greater Sacramento Area please call me to schedule an appointment to get you started in the right direction.

You can also visit my website where you might find some buyer information and where you can search for homes currently for sale.

Good luck!