Things to Avoid While Buying a Home

Enhancing your future home with new furnishings is an exciting prospect. However, it's crucial to tread carefully before your loan closes to ensure a seamless transaction. Here are some essential actions to avoid:

1. Hold Off on Big Purchases: While it's tempting to splurge on furniture or appliances for your new space, refrain from making significant buys until after closing. Large purchases could alter your credit profile, potentially jeopardizing your loan approval.

2. Avoid New Debt: Opening new credit accounts can disrupt your loan approval process. Consult your loan originator before taking on any new debt to prevent delays or complications.

3. Maintain Job Stability: Lenders value a steady employment history. Avoid changing jobs during the loan approval process, as it may raise concerns and impact your application status.

4. Keep Finances Stable: Avoid transferring funds between accounts or switching banks before closing. Lenders need clear documentation of your financial stability, so any changes could complicate the process.

5. Avoid Large Deposits: Large deposits and transfers, can lead to additional documentation being needed to source where the money originated. A general rule of thumb is any deposit greater than 50% of your total gross monthly income, will need to be sourced.

In conclusion, adhering to these guidelines can significantly contribute to a smooth and successful closing process for your mortgage. By refraining from big purchases, maintaining stability in your employment and finances, and avoiding new debt, you're safeguarding your home buying journey. At Contemporary Mortgage Services, Inc., we're dedicated to ensuring your transaction goes seamlessly. Trust us to navigate you through every step with expertise and personalized attention. If you are ever unsure about something, feel free to reach out to us for help.