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Real Estate Broker/Owner with Green Realty Properties® - 954-667-7253 BK3175566


Buying a home Using Financing


As a South Florida Listing Broker, I often hear from Buyers who are sad and frustrated that they can’t get into a property or can’t close. Most of the time the issues giving Buyers difficulty getting into a home are avoidable.


Survivor Guide For Real Estate Buyers Part 1 addressed the real estate aspect of buying a home with a tip for cash Buyers, and now part 2 gives important tips to financed Buyers. Being that the vast majority of Buyers are financed, and that there are some real complications that can come up with financed offers, I believe that the 7 tips below are crucial to helping financed Buyers get under contract. These tips will also help in keeping the transaction as smooth as possible and getting to the closing table.


Buyer Tip #1: Vet who you hire: Lender.


1)      Just as with hiring a REALTOR, hiring the right lender and loan officer is also key. Who you use as your lender is so important that there are two tips! Along with going with a local lender, it’s important that you call around and speak to a few of them to see who is the best fit for you. Ideally you will find a lender who has experience, who is reliable, who is accessible, who works in a timely manner, and who cares about your file instead of treating you like a number. Ask to speak with previous clients, look for online reviews, ask the loan officer as many questions as you need to feel comfortable.


Buyer Tip #2: Keep it local.


2)      Get a pre-approval from local lender because they can close sooner and are accessible. We don’t care which local lender you use, just please use a local lender instead of one of the larger lenders. I don’t have anything against the larger lenders, I’m just trying to avoid issues with getting to your closing. Fact of the matter is that local lenders are more accessible for any questions or issues, and they can close in a lot less time than the large banks. Larger lenders also usually require more than 30 days to get your loan ready, which is an issue especially if you’re buying a short sale that has given the usual 30 days to close. Avoid putting yourself in a stressful situation by working with a local lender from the very beginning.


Buyer Tip #3: Put Your Pen Down and Leave Your Credit Alone.


3)     Once you have been pre-approved for a loan, please don’t apply for credit of any kind…buying new furniture, cosigning for anyone, buying a new car, etc. Applying for any credit at all will hit your credit score negatively, and that isn’t something you want to do while in the process of purchasing a home.


Buyer Tip #4: When Shopping is Not a Pleasure.


4)      Don’t use any of the money you used to get the pre-approval letter. Please, please don’t take out any of the money you showed to obtain your pre-approval until you close. Any money that is taken out might need to be explained and investigated by the underwriter, and it might affect the amount you need to close and your ratios.


Buyer Tip #5: No Mystery Banking.


5)      Don’t make withdraws and deposits in any of your accounts that are out of the norm. Of course routine/regular deposits are fine, but keep in mind that unusual withdraws and deposits trigger investigations by the underwriter, that once again, can add complications and extra time getting to your closing.


Buyer Tip #6: Don’t Play With Your Money.


6)      Don’t open or close any bank accounts, move money around between your accounts, or move money from your account and someone else's accounts. You may think that something like transferring a bit of money into your child’s account to help him out while she’s away at college is harmless, but again, this will trigger an inquire by the bank’s loan underwriter.


Buyer Tip #7: Not all Financing Types are Created Equal.


7)     FHA buyers are having an extremely difficult time purchasing homes in this market, sellers are looking for conventional financing and often are not even willing to receive an offer where the buyer is obtaining a FHA loan. It is a good thing that most lenders are again offering conventional financing with less than 20% down payment!


For More Tips, Please Read



Getting a loan? Read this first:

Why do you keep asking me for all that paperwork Mr. Loan Officer?


Posted by

If you or anyone you know need help Selling or Buying a Home in Broward & Miami-Dade Counties, please don't hesitate to call me at 954.667.7253


Help lots of people and have a great day!

Patty Da Silva, CDPE©, RESS®, AHWD®, e-PRO®, GREEN, CFS, TRC, RSPS

BROKER - REALTOR® Serving South Florida ::: 954. 667. SALE (7253) ::: Green Realty Properties®

Visit www.WeLoveSouthFlorida.com for SouthEast Florida's best properties.



Copyright © 2008 - 2015 By Patty Da Silva, CDPE©. All Rights Reserved.

Legal Stuff: This article (Contents) reflects the opinion of the author and it is not to be considered legal advice. The author is not an attorney or a CPA. If you are in need of legal or tax advice, it is recommended that you to contact a trusted professional advisor.

Bruce Walter
Keller Williams Realty Lafayette/West Lafayette, Indiana - West Lafayette, IN

Hi Patty,

This is an excellent compendium for buyers on important "do's" and "don'ts" when financing a real estate transaction.  I do agree that a great lender makes for a much easier transaction.  If you don't mind I would like to bookmark this and share with clients as needed!

May 14, 2012 05:04 AM
Marianna Athanasiadis
Green Realty Properties® - Davie, FL

In other words, stay completely still until you close.  :o)

May 14, 2012 06:23 AM
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy


This is fabulous advice, and you explain it beautifully.  I am suggesting hoping that it gets a wider audience for this excellent post. A

May 14, 2012 07:44 AM
Account Closed
Montreal, QC

This is excellent advice, Patty, that every agent should give to their buyers.  Suggested. 

May 14, 2012 11:30 AM
Broker Patty Da Silva Da Silva
Green Realty Properties® - 954-667-7253 - Cooper City, FL
Top Listing Broker

Bruce, bookmark it and share it wide ~ mi blog post es su blog post.

Marianna, yes ~ that is it. Stay still and don't move the pen or any money.

A, thank you for the compliment and for "suggesting" it. I know that buyers could use some good advice to avoid their heartbreak.

Kimm, Real Estate can be overwhelmed for buyers, especially in this crazy market and I wanted to put together simple guide to help them. Thank you for suggesting it.



May 14, 2012 12:12 PM
Jane Peters
Home Jane Realty - Los Angeles, CA
Los Angeles real estate concierge services

Excellent advice, as always, Patty.  Bottom line, put yourselves in the hands of a reputable LOCAL lender and listen very, very carefully to their advice.  

May 14, 2012 01:58 PM
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate Services

Patty,  Working with the wrong lender can cause a deal to die! It can also cost a buyer more money in per diem costs if the close is delayed ... most especially true, as you know, in a short sale situation.  I prefer local lenders with whom I have a trusted relationship! Another great post!

May 14, 2012 02:16 PM
Bruce Walter
Keller Williams Realty Lafayette/West Lafayette, Indiana - West Lafayette, IN
Thanks, Patty! Let me say this ahead of time when you are run down and worn to a frazzle later in the week from your long, hard hours of work: POBRE CITA!!! ^_~
May 15, 2012 04:00 AM
Dale Baker
Baker Energy Audits and Commercial Properties Inspections - Claremont, NH
New Hampshire Relocation Real Estate Information

Howdy and evening Patty

Patty my friend, Home Buyers sure are going to really appreciate this here outstanding Survivor Guide series that loaded with mighty fine information mighty helpful.

Have a good one
Dale in New Hampshire

May 15, 2012 02:21 PM
Broker Patty Da Silva Da Silva
Green Realty Properties® - 954-667-7253 - Cooper City, FL
Top Listing Broker

Jane, the importance of a good local lender can't be said enough.

Kathleen, we've almost had a short sale fall apart in the last few weeks because the buyer had gone with a larger lender and they couldn't get it together. She switched to a local lender, and he had her closed in 3 weeks. Just incredible what a difference it makes.

Bruce, very much looking forward to the weekend.

Dale, I hope it really helps buyers. The more issues you eliminate upfront, the easier it is.

Valerie, thank you. I just don't think they think of it. They don't take it into consideration, and they need someone to tell them.

May 18, 2012 03:28 AM