You did it! You found your dream house and your offer was accepted by the buyer! Congratulations are in order, but don’t pop the champagne just yet. The closing process is ahead of you, and though you’re under contract, things can and do happen to delay your closing, or even cause the deal to fall through. We don’t want this to happen to you, so if you are using a lender to purchase your home, read this list closely and DO NOT do the following while under contract.
Your lender uses job and salary verification in order to secure your loan, therefore any change will derail the process. This is especially true if your new job is at a lower salary, so avoid any career changes if you can.
MAKE A LARGE PURCHASE
Whether on a credit card or in cash, any large purchase will throw everything off, as the amount you owe and have in your accounts are factors of your loan approval. So hold off on buying that new washer/dryer until after your closing.
CHANGE MARITAL STATUS
Marital status affects how the deed title is recorded. Avoid making any official marital changes until after closing.
SWITCH BANKS OR FINANCIAL INSTITUTIONS
As mentioned earlier, your lender has evaluated your financial accounts in order to approve your loan. Changing where your funds or credit is held means the process may have to start over.
OPEN OR CLOSE ANY CREDIT ACCOUNTS
You may think closing your credit card is a good thing – but it’s definitely not during the closing process. And don’t open new credit either! Zero percent financing on furniture for your new home may be enticing, but don’t do it – and you shouldn’t be making a large purchase anyways!
The closing process is just one part of purchasing a home. For any and all questions about home buying, reach out to the Buyers’ Specialists at The Gill Group for a complimentary, no-obligation conversation! Call 201-888-2900