Don’t Do These Things After Receiving a Mortgage Pre-approval


Are you shopping for a new home? Are you ready to get serious about the process?

If so, it won’t be long before you find yourself seeking a pre-approval from a bank. Once you have this in hand, it’s much easier to understand what you can afford, how much a particular home will cost each month, and much more.

Unfortunately, many buyers make mistakes after receiving a pre-approval for a mortgage. As a result, it can impact their ability to take action when they’re ready to make a purchase.

Here are several mistakes you should never make after receiving a mortgage pre-approval:

•    Apply for new credit, such as a credit card
•    Make a major purchase with credit, such as a car or furniture
•    Co-sign on loans, such as a car loan or student loan for a family member
•    Leave your job (regardless of the reason)
•    Ignore the fact that you need to stay current on your bills

As you can see, there are a number of things you must avoid after receiving a mortgage pre-approval.

In short, all of the above are associated with your financial situation at the time of your application. What you’re trying to do is avoid a change in circumstances, as this gives the lender no choice but to re-review your application and potentially alter their offer.

Tip: if you have questions or believe that you’re making a poor decision, consult with the lender before doing anything else. From there, you’ll have a better idea of what you can do, what you shouldn’t do, and the steps you can take to remain on track.

The pre-approval process is a big part of buying a home. You don’t want to put yourself behind the eight ball for any reason.

Have you received a pre-approval in the past? Were you able to turn this into an actual mortgage shortly thereafter? Share your tips and advice for doing so in the comment section below. 

Top Reasons to Use a Credit Card When Traveling
Frugal Flips for the Not-So-Extreme Cheapskate, Pa...


No comments made yet. Be the first to submit a comment
Friday, 22 September 2017