Buyer Tip: What You Don't Tell Me, CAN Hurt You!

Real Estate Agent with Cedar Rapids/Iowa City, IA KW Legacy Group S44645

 Buyer Tip:  What You Don't Tell Me, CAN Hurt You!


Case in point:  If you know that you are making payments on a "civil matter" that does not show up on your credit report, it might be a good idea to let the lender know.  It WILL come up in the buyer lien search and could end your dreams of home ownership.  


How does this happen?  Let's say it was ten years ago and you leased an apartment with a friend.  You left the lease prior to the end and thought nothing of it.  Until you try to buy a home.  There it is and with interest, it needs to be satisfied in order for the lender to feel comfortable closing the loan.  These liens could be $200.00 or $2000.00.  And if it is $2000.00, it may jeopardize your ability to buy.


This is what happened to a buyer last month.  It could have been averted had the buyer mentionned it at the time of the loan application.  There would have been more time to get it addressed.  Instead, it was discovered the week prior to closing.  Needless to say, the seller was quite distressed to learn that their current home was not going to close as expected.  Especially when they were already packed and ready to move into their next home.  


The first in a line of 5 transactions, all dependent on my buyer being able to perform.  Luckily, there was a family member of the buyer that was able to pay off the lien.  But in most cases, this would have been a dead transaction.


And so we learn that even if it isn't on your credit report, let the lender know anything that may adversely affect you in the process of buying a home.  Lenders are always putting themselves in a position of risk and minimizing it is their ultimate goal.


If you have questions about what may be on your credit or in your history, you can look at public records or call a lender to have the check done on your behalf.  Especially if you suspect that it could be lurking as an unresolved issue.  I would love to help, please contact me for a free home buyer consultation!


Keep smiling!






Posted by


Karen Feltman, REALTOR®, ABR, AHS, CHMS,                                                                      CNE,CRS, e-Pro, green, GRI, SRES, TRC

Keller Williams Legacy Group

4850 Armar Drive SE Ste B

Cedar Rapids, Iowa 52403


Mobile  319-521-0701

Licensed in the State of Iowa

© 2010-2018 by Karen Feltman, Cedar Rapids/Iowa City Relocation Specialist 


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John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

Karen - Thanks for the great tip on what you don't tell me can hurt you.

Dec 10, 2014 01:39 PM #1
ReadySetLoan Condo Approval Team
ReadySetLoan Condo Team LLC - South Windsor, CT
The FHA/VA Condo Project Approval Specialists

Hi Karen - another article full of excellent advice for buyers.  It is necessary to clear up these liens prior entering into a purchase and sale agreement.  Luckily your buyer had help because, if not, 5 families' lives would have been greatly interrupted!

Dec 10, 2014 10:07 PM #2
Susan Haughton
Long and Foster REALTORS (703) 470-4545 - Alexandria, VA
Susan & Mindy Team...Honesty. Integrity. Results.

Excellent advice.   I'm dealing with a similar situation right now;  buyers did not think something would be an issue at all, but guess what?  They were wrong and now their loan is pended.  Arrgghhh.

Dec 11, 2014 07:07 AM #3
Lawrence "Larry" & Sheila Agranoff. Cell: 631-805-4400
The Top Team @ Charles Rutenberg Realty 255 Executive Dr, Plainview NY 11803 - Plainview, NY
Long Island Home and Condo Specialists

It happened again...Buyer made an offer on the house of their dreams...and then purchased 2 new cars too...When will they learn?

Dec 12, 2014 09:44 PM #4
Karen Feltman
Cedar Rapids/Iowa City, IA KW Legacy Group - Cedar Rapids, IA
Relocation Specialist in Cedar Rapids, Iowa

John Pusa Thank you for reading.  Have a great week!

Eric Boucher My buyer was definitely feeling like the cause of a 5 car (house) pile up.  She felt awful about it, but we got it done and closed a few days late.  Thank you for reading.


Dec 15, 2014 12:28 PM #5
Karen Feltman
Cedar Rapids/Iowa City, IA KW Legacy Group - Cedar Rapids, IA
Relocation Specialist in Cedar Rapids, Iowa

Susan Haughton It happens too often these days.  It is not always the lender's fault!  :)  Sometimes, buyers just don't think.

Lawrence "Larry" & Sheila Agranoff. Call 631-805-4400 (c)   Oh my, house first!!!!!  Then cars and furniture or any other debt! They will never learn...

Dec 15, 2014 12:30 PM #6
Roy Kelley
Realty Group Referrals - Gaithersburg, MD

This is very good advice for prospective mortgage borrowers.

Have a very special weekend.

Mar 06, 2015 11:25 PM #7
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Karen Feltman

Relocation Specialist in Cedar Rapids, Iowa
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