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  1. FHFA Conforming Loan Limits 2019
  2. How 2018 Market Trends Will Affect Wisconsin Buyers
  3. No Money Down Home Loans Appleton Oshkosh Green Bay Wisconsin
  4. Benefits of using FHA for your home loan
  5. Benefits of being a homeowner
  6. Wisconsin local lender vs online lender
  7. Home Loan Pre-Approval
  8. No Money Down Home Loan
  9. Serve and Support Loans
  10. Debt Consolidation and Cash Out

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Home Buying Tip #3

August 01, 2016

There are some critical mistakes some home buyers make that you will want to avoid at all costs. This week we are going to talk about what those are, and how to avoid these common missteps.

 

You have the house picked out, your offer accepted, the bank has approved your loan and a closing date is set. You think your loan commitment means your deal is done and you just have to wait for your closing. Not so fast! Your loan faces final underwriting review right before closing. Here are some things that are happening behind the scenes that you might not know about.

 

Your employer is also contacted to verify employment the week of closing, so now is not the time to switch jobs. This can really throw a wrench in the deal - for starters, a new pay stubs will be needed from the new job- often causing a delay until payday, and the loan will need to be re-underwritten. You were approved with the job you have, and a new one can only make things more difficult. Hold off on switching jobs till you sign your loan papers and the your new house keys are in your hand.

 

Thinking ahead about the new carpet or kitchen counter you are going to need and you want to finance it? Need a new car? Hold off on applying for any new credit or financing till after the loan is closed. A credit re-fresh is ordered right before your loan closing, and any new credit will need to be addressed and recalculated into your debt to income ratio. Also, a new credit inquiry can lower your credit score. Any of these factors can guarantee your loan will be re scrutinized and often delaying your closing until it can be reviewed.

 

Make all your payments on time. A recent late on a credit card or car loan can change your credit score right before closing. When your credit re-fresh is done a day or two before closing - this can drop your credit score enough to possibly change the mortgage rate you qualified for when you originally applied. This can delay or even put your financing in jeopardy, depending on the degree of impact it had on your score.

 

If you are considering any moves, financially, job wise, or money wise, consult your loan expert before doing so. Something you consider small and insignificant could have wide reaching effects on your loan approval. Your loan professional is here to make this process as smooth as possible, and can provide you with valuable advice on any decisions you may be considering.

 

 

Ron Meyer
GSF Mortgage Corporation
300 Patriot Dr.
Little Chute, WI 54140
(920) 788-9608
rmeyer@gogsf.com
NMLS #222688 & 1018