Tips for Mortgage Application
When Applying for a Mortgage Loan
Many individuals don't realize that even the slightest change in your financial situation after a mortgage application could jeopardize or delay ultimate approval of the loan. For this reason, please avoid taking any of the following actions:
1) THOU SHALT NOT ... change jobs or type of income, lessen hours, become self-employed or quit your job.
2) THOU SHALT NOT ... buy a car, truck, van or boat (or you may have to live in it!)
3) THOU SHALT NOT ... use your credit cards excessively or let your accounts fall behind. Some loans may not allow for any balance changes at all. Ask your loan officer before you use credit cards.
4) THOU SHALT NOT ... spend money you have set aside for down payment or closing costs.
5) THOU SHALT NOT ... make a large deposit without first checking with your loan officer.
6) THOU SHALT NOT ... omit any debts or liabilities from your application. For example: child support, alimony, IRS liens or collections, judgments, or open lawsuits.
7) THOU SHALT NOT ... buy appliances or furniture for your new home until you actually own it.
8) THOU SHALT NOT ... allow any new inquiries into your credit report.
9) THOU SHALT NOT ... co-sign on any loan for anyone or allow authorized users to charge on your credit accounts.
10) THOU SHALT NOT ... misrepresent anything about your residency, marital status, household income, or any other detail related to your loan application.
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