The 2nd Biggest Mistake Home Buyers Make
The first huge mistake that home buyers make is purchasing a house that will strain their budget and reduce the joy of living in that new home.
The second biggest mistake can take home ownership right out of the picture.
When your offer has been accepted, your loan has been approved, and you're anxiously awaiting the closing day, you’re quite naturally excited about it.
You’re looking forward to moving in and furnishing the home to suit your tastes. You might be visualizing a new sofa with matching chairs or a luxurious bedroom set. You might be seeing elegant draperies or a sparkling chandelier hanging over your stylish dining table.
And therein lies the biggest mistake a home buyer can make: Spending money on those new furnishings (or anything else) before the loan closes.
When you’re waiting for a mortgage loan to close, spending any money beyond the costs of daily living can spell disaster. That disaster is denial of your loan at the last minute.
Lenders do run another check in the few days preceding a loan closing, and if they find that you’ve incurred new debt, increased the balances on your credit cards, or depleted your bank accounts, they are very likely to call a halt. Meanwhile, you’ll be out the funds you paid for a home inspection and appraisal.
A secondary mistake is shopping without buying. You can browse, but don’t ever, ever tell a sales person your social security number. Even without your permission, the store (or car dealership) might check your credit, and that can reduce your credit score just enough to squash your home loan.
So dream about your new furnishings, but don’t even speak to a sales person until your loan is closed and funded.
Michael Peron
954-779-6106
Mike@MichaelPeron.com
www.SouthFloridaHomeSolutions.com
www.facebook.com/SouthFloridaHomeSolutions
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