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5 Absolute Do Not's When Purchasing A House

Mortgage and Lending with George Souto NMLS #65149 FHA, CHFA, VA Mortgages NMLS #65149

As much as we blog about what not to do when purchasing a home, and as much as we warn and advice Borrower when they are applying for a mortgage on what not to do until they have Closed on their loan.  Guess what, they still do it.  There are several things that a Borrower/Buyer should not do while they are in the process of purchasing a house, But there are 5 Absolute Do Not's When Purchasing A House.  The 5 Absolute Do Not's When Purchasing A House below are so important that anyone one of them can easily bring a Loan Approval and Closing to a screeching halt.  The 5 Absolute Do Not's When Purchasing A House are:

  • DO NOT go out and buy a new car, or furniture or ANY other large purchase.  The new payment could disqualify you from being able to qualify for the mortgage.
  • DO NOT stop making payments on your bills such as credit cards, student loans, car payments, rent, utilities, etc. 
  • DO NOT apply for new credit cards while your mortgage is being approved.  This could lower your credit score, and if your credit is checked again before the Closing you may no longer qualify.
  • DO NOT make large deposits or withdrawals that you can not document.
  • DO NOT quit your job, even if it is for a better one.  A change in jobs will mean that you will have to produce 30 days worth of paystubs for the new job, and this could delay your Closing.

As I stated above, there are other Do Not's, but these are the BIG Do Not's, these are the 5 Absolute Do Not's When Purchasing A House.  These can not be said enough, or blogged enough about.  When a Borrower/Buyer is in the process of purchasing a house, they almost need to hear these 5 Absolute Do Not's When Purchasing A House on a daily bases.

I don't want to close this blog on a negative, so I am going to end it with one BIG "Do".  When purchasing a home, if there is ANY doubt on whether to do something or not, CALL  your Loan Originator and ASK.  The few minutes that it takes to make a quick simple phone call, could save hours of delays and problems later on, or worst, the mortgage being denied.



 Info about the author:

George Souto is a Loan Officer who can assist you with all your FHA, CHFA, and Conventional mortgage needs in Connecticut. George resides in Middlesex County which includes Middletown, Middlefield, Durham, Cromwell, Portland, Higganum, Haddam, East Haddam, Chester, Deep River, and Essex. George can be contacted at (860) 573-1308 or gsouto@mccuemortgage.com

Posted by

George Souto
NMLS# 65149

C (860) 573-1308
CALL 7 Days/Wk
Fax (860) 760-6891

Email Me
About Me
My Blog

I am a Mortgage Loan Officer who can assist you with all your mortgage & refinancing needs in
CT, and RI

I can assist you with your Conventional,
FHA, CHFA, VA, USDA, & 203K loan programs.

I reside in Middlesex County which includes Middletown, Middlefield, Durham, Cromwell, Portland, Haddam. E. Haddam, Higganum, Chester, Essex, Deep River.



Jenefer Joseph
Jenefer Joseph & Associates-516-642-4435 - Valley Stream, NY
Valley Stream Real Estate Agent - Valley Stream Homes For Sale

Ditto for comment #26. I plan to print it and hand it out to buyers. I had a customer pay his phone bill by credit card and it caused a problem. It does not even need to be a major purchase to be an issue. Great post.

May 15, 2013 04:44 AM
Chris Hayes
Keller Williams Realty Northwest LA - Shreveport, LA
Your Shreveport/Bossier Real Estate Partner

Great reminder, we've got a similar list in our buyer presentation book just to remind them!

May 15, 2013 04:47 AM
Monica Hill
RE/Max Associates - Wilmington, DE
the REALTOR to help you discover Delaware

If I'm in doubt about my clients following the rules, I'll ask them if they need me to hold their checkbook and credit cards for them until purchase. Just kidding with them, but it drives the point home. NO purchases.  I have had clients buy jewelry and switch jobs before closing. The jewelry cost her the house; the job change, miraculously, did not. (The VOE had already been run.)

May 15, 2013 04:51 AM
Hella Mitschke Rothwell
(831) 626-4000 - Honolulu, HI
Hawaii & California Real Estate Broker
My last client kept asking me to confirm the closing date because of sales happening. And I kept telling her to pretend they weren't happening until the keys were in her hand. Thank heavens she complied.
May 15, 2013 04:54 AM
Susan Waddle
J. Jones and Company - Fort Myers, FL

OH YES!  I had one individual the DAY before closing went and purchased a new Jeep Cherokee.    We had the loan on the car switched to his brother in 24 hours and then closed!  MESS.............they just don't listen.

May 15, 2013 04:59 AM
Steve Elmore
The Elmore Group with Re/Max Associates - Louisville, KY
ReMax Associates Realtor

Great list - we should all mention these with to our buyers at our initial consultations.

May 15, 2013 05:01 AM
Beth and Richard Witt
New York, NY
The best Retired Brokers !!!!

Great post... but I think you already know that... Sage advice...

May 15, 2013 06:02 AM
Centerville, KS

Great blog! I have the "10 Commandments of Buying a House" I give my buyers when I meet with them for the 1st time. It spells out all these items with "Thou Shall Not..."


May 15, 2013 06:16 AM
Dana Basiliere
Rossi & Riina Real Estate - Williston, VT
Making deals "Happen"

Hear Hear George,

One would think it is prevailing wisdom but I bet everyone reading your (very good) post has a story of someone buying what they shouldn't and loosing the house or darn near. (my example was a $40,000 Dodge pickup because it was "better" then the one year old one he had)

May 15, 2013 07:03 AM
Karen Steed
Tallapoosa, Bremen, Waco, Buchanan, Temple, Carrollton - Tallapoosa, GA
Associate Broker Haralson Realty

Love it George!!  I had buyers bounce checks the week before closing.  (They both went a little crazy)  Needless to say, we did not close. 

May 15, 2013 08:01 AM
Annett T. Block
NextHome Connect Realty - Fort Lauderdale, FL
Your NextHome in Fort Lauderdale Beach

We can not stated enough! 

May 15, 2013 10:18 AM
Jennifer Fivelsdal
JFIVE Home Realty LLC | 845-758-6842|162 Deer Run Rd Red Hook NY 12571 - Rhinebeck, NY
Mid Hudson Valley real estate connection

George these are certainly points potential home buyers need to keep in mind.  I have seen people go out and buy big ticket items.

May 15, 2013 01:05 PM
Tammy Davis
Flora Real Estate Group - Hollister, CA

After working in escrow for many years, I used to tell buyers "Do not charge anything or open new credit, do not quit your job and don't get a divorce until after we have closed escrow". And yes.. I have been a witness to all three things happening!

May 15, 2013 02:57 PM
Bob Miller
Keller Williams Cornerstone Realty - Ocala, FL
The Ocala Dream Team

Hi George, here is another.  DO NOT sell a car to raise funds for closing while in escrow.

May 15, 2013 10:59 PM
Gene Riemenschneider
Home Point Real Estate - Brentwood, CA
Turning Houses into Homes

It is amazing what some people do without thinking that ends up causing so many problems.

May 16, 2013 03:18 AM
Monique Ting
INET Realty Honolulu, HI - Honolulu, HI
Your agent under the sun

Thank you for sharing the excellent reminder! First -time home buyers need to be reminded of those 5 Nos.



May 16, 2013 10:03 AM
Pat & Wayne Harriman
Harriman Real Estate, LLC (203) 672-4499 - Wallingford, CT
Broker/Owners, Wallingford CT Real Estate

Good stuff, George! We know how often people do this kind of stuff and then wonder why they can't get their mortgage or the closing is suddenly put on hold. Reblogged!

May 17, 2013 04:35 AM
Patricia Aulson
Realtor - Portsmouth NH Homes-Hampton NH Homes

Thanks George for getting this blog out to us today.   I enjoyed the read.   

I have bookmarked this for future reference.


Patricia Aulson/ Seacoast NH &  ME 

May 17, 2013 09:09 AM
Sharon Parisi
United Real Estate Dallas - Dallas, TX
Dallas Homes

George, I think we all need to print out your post, with the screaming graphics, to help our Buyers remember what not to do when waiting to close a loan.

May 17, 2013 12:22 PM
Karen Deis
ApartmentToolKit.com - Minneapolis, MN
When In-house training is not enough!

The job change one is the one most forget about...

I recently wrote a blog called the 10 Commandments of Buying a Home if you'd like me to share that with you.

Great reminders. Karen.

Jul 29, 2013 04:06 AM