While securing a loan can seem overwhelming, there are a few things that you can do (and a few things you can avoid doing) to make the loan process a little easier.
DOS :
– Advise your lender if any information you’ve provided changes. This can include change of address, job, salary or anything for the loan process.
– Keep records of all bank transactions, especially if you transfer large amounts from one account to another.
– Get homeowners insurance with coverage equal to the mortgage amount or replacement value of your home.
– Protect your credit scores. You’ll want to stay on stop of any little change that my impact your loan.
– Talk to your loan agent if you have any questions or concerns about your loan.
DON’TS :
– Make any significant purchases during the mortgage process. It could negatively affect your debt-to-income ratio.
– Consolidate credit cards or get any new lines of credit. This can also negatively affect your debt-to-income ratio.
– Pay off collections or charge offs. This can actually cause your credit score to drop.
– Change jobs if possible. It’s usually more desirable to show a two-year work history and a new job could affect that.
– Cosign for another borrower. This will show up as additional debt, and could affect your credit.
– Change your overall asset picture. This could include changing investments, opening/closing accounts, or making unexplained large deposits.
