Good news! You have just been pre-approved and your future dream is under contract, but that doesn’t mean you can sit back and assume the home is yours. While most of the hard work is done, there are still some things you need to avoid in order to refrain from delays in your journey to home ownership.
1. Don’t Apply for a New Credit Card
Remember that when you apply for a new credit card, it can poorly affect your credit rating. Be cautious and wait it out.
2. Don’t Purchase a New Car
If you would like to live in a new car instead of that dream home, then go ahead and pick one out!
3. Don’t Go Furnish the Home Before you Own It
We know how exciting it can be for this step of your life, but nothing should be rushed. You may already have picked out the new couch, entertainment center and big screen tv, but hold on until after you close on the home.
4. Avoid Changing Jobs
Although job changes can provide better pay and a chance for advancement, it could delay your quest for homeownership since the banks want to see a certain amount of time incurred as an employee.
5. Don’t Get Behind on Payments
Make sure you stay on top of your credit card and current monthly bills to maintain good standing.
6. Don’t Close Any Credit Accounts
It makes sense to clean up your finances by canceling unused credit cards and transferring balances to other cards in order to get a lower interest rate when you’re offered them. However, don’t do it! This can be a bad move for your overall credit score.
7. Don’t Spend Your Savings
This may seem like an obvious one, but it’s important to remember you’re going to need cash for a down payment and possibly closing costs.
8. Don’t Move Money Without a Paper Trail
Your lender is going to need documentation for all of your transactions to ensure you do in fact have enough money.
Remember if you have any questions about the “do’s & dont’s” while in the process of purchasing a home, ask your Realtor who would be more than happy to answer and help make your dream of homeownership a reality.