We’re here to help you get exactly where you want to go – and we’re also here to help you avoid some of the most common mistakes people make when buying a home. So we thought we’d list the top 10 things to avoid when buying a home. Because ultimately, we want to see you get into the perfect house for your family. We’re a unique direct lender and Christian Mortgage Team because it allows us to do that to the very best of our ability.
1. Don’t Change or Quit Your Job
You want to show lenders stability, which means you’ll be less likely to default on the loan.
2. Don’t Change Banks
As with your employment, you want your banking history to show stability.
3. Don’t Finance a Car
Buying a vehicle or any other form of transportation through a loan increases your debt-to-income ratio.
4. Don’t Make Any Large Purchases
Charging big-ticket items Also increases your Debt-to-income ratio.
5. Don’t Be Late With Payments
You need to show a track record of responsibility.
6. Don’t Make Large Deposits
Lenders like to see your down payment sitting in your account for at least 2 months.
7. Don’t Lie On Your Application
Sounds simple right? Don’t leave out any debt or liabilities or fudge your income. It’s fraud.
8. Don’t Co-Sign a Loan for Anyone
Even if you’re not making payments, it will increase your debt-to-income ratio.
9. Don’t Check Your Credit or Apply For New Credit Cards
Looking for new credit translates into a higher risk for lenders.
10. Make Sure You Have Your Funds for Closing
Part of the price for financing your home is closing costs. Be sure you have the funds available at closing.
You’re off to a great start! Knowing a few things to avoid when buying a home can help set you up for success. If you have any questions or are looking for a lender, give us a call! We’re a Christian Mortgage team that values the same things you do – faith and family. And we’d love to help get you into the new home you’ve been dreaming about.
Best,
Audrey
The Christian Mortgage Mom
