The mortgage loan process is a critical step in the home-buying process. It will go much more smoothly if you avoid these things along the way:

1. Starting the process too late
It's very important to select a lender and get prequalified for a mortgage before making an offer on a home. Get your financing approved before starting the home-buying process.
2. Taking out another loan or making large purchases on credit
While your mortgage application is open, taking out another large loan is going to impact your credit score and your debt to income ratio. This could impact your ability to qualify.
3. Changing jobs
Your employment and income are huge factors in the mortgage process. As tempting as that other job may be, changing jobs in the middle of your loan process will very likely delay your closing significantly, as you will have to begin the loan application process again. Wait to change jobs until your loan has closed.
4. Depositing undocumented cash
Federal mortgage guidelines that prevent money laundering through real estate transactions require all cash deposits to be documented to show that the funds used on the down payment of the home are yours. Any money gifted from a family member to help with the down payment of your home must be supported with a gift letter. Funds taken out of retirement or trust accounts must also be documented. The sale of assets like cars, antiques, or jewelry must be documented with a signed bill of sale.
Contact us for more information about the home buying process. We are here to help!
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