George Campolo, Award Winning Associate Real Estate Broker, Shares 4 Serious Financial Mistakes That Can Stall the Home-Buying Process
So, you’ve found your dream home at a great price. You’ve lined up your mortgage with a pre-approval, and it looks like your home-buying journey is nearly over. However, it’s a mistake to think you’re in the clear.
Until the purchase is completed and all the documents are exchanged, it’s still possible for plenty to go wrong. Some of the risks are out of your control, but here are four financial mistakes that George Campolo, a winner of the 2016 & 2017 RE/MAX NY Region Executive Club Award, suggests you avoid if you want your new home purchase to go without a hitch.
1) Applying for Credit
From the time you apply for your mortgage, until it is paid out to the seller and the closing is over, DO NOT apply for any new sources of credit. Getting a new credit card or buying a car could potentially change your credit score enough to disqualify you from your mortgage approval.
At best it could cause delays while your application is reevaluated, at worst, NO loan, NO new house. Remember, a mortgage pre-approval is only an offer in principle. It’s not a cast-iron guarantee that you’ll receive the loan no matter what else happens along the way. The lender will run your credit in the beginning of the process to issue your preapproval, but did you know that the lender will run your credit again a day or two before you close? ANY change could blow up your purchase. … READ MORE ...