Looking to Sabotage Your Mortgage Closing… Here’s How!!!

Nothing is more frustrating than working hard to get a mortgage approved and then having it denied because of an innocent mistake. Mortgage approvals are harder than ever to come by due to the new mortgage regulation policies that were implemented earlier this year. This is especially true when buying a brand new property directly from the builder and waiting to take possession over a long period of time.

Here are a few key points that I review with my clients to ensure that their pre-approval stays secure.

Credit – Although you have been pre-approved for your mortgage at this present time, the lender will do one more final check on your credit before you close on your property. The key is to try and keep your credit balances the same or less than when you were pre-approved.

Avoid the Bait – This typically applies to a couple of things: Purchasing a new vehicle, applying for new credit cards or lines of credits. Regardless of how inviting those may seem, they could be the cause of your pre-approval falling apart. New loans and credit cards will increase some of the ratios that lenders look at when approving you for a mortgage.

Adding to your Debt –Avoid adding balances to those credit cards. Remember the lender will do one final credit check before advancing the money to the lawyer. Hold off from purchasing high ticket items until after you have possession of your property.

Stay Settled – If at all possible try to avoid changing jobs until your mortgage closes. The most important factor in giving mortgage lenders the confidence to finance your home is keeping your credit and income stable.

By following these simple key points you can ensure that your mortgage will close with success.


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