Getting a new mortgage for a First-Time Home Buyer can be a little overwhelming with all of the important details, guidelines and potential speed bumps.
Since there are so many rules and steps to follow, here is a simple list of Do’s and Don’ts to keep in mind throughout the mortgage approval process:
• Continue working at your current job
• Stay current on all your accounts
• Keep making your house or rent payments
• Keep your insurance payments current
• Continue to maintain your credit as usual
• Call us if you have any questions
• Make any major purchases (Car, Boat, Jet Ski, Home Theater…)
• Apply for new credit
• Open new credit cards
• Transfer any balances from one credit or bank acct to another
• Pay off any charge-off accts or collections
• Take out furniture loans
• Close any credit cards
• Max out your credit cards
• Consolidate credit debt
Basically, while you are in the process of getting a new mortgage, keep your financial status as stable as possible until the loan is funded and recorded.
Any number of minor changes could easily raise a red flag or cause a negative impact on a credit score that may result in a denied loan.
Most importantly, check with your loan officer on even the simplest questions to make sure your loan approval is successful.