Six Things Not To Do Before Buying A Home in Tooele UT
Six Things Not To Do Before Buying A Home in Tooele UT
Just because you’re buying a home in Tooele UT doesn’t mean that life has to stop, or does it? Did you know that actions you take now could affect the mortgage you apply for in three or even six months. Read on to find out what things you should avoid doing before buying a home.
Do Not Purchase a Car. Many people are inclined to improve their social standing by purchasing a car and buying a home at the same time. Purchasing the car before buying a home will have an effect on what the mortgage lender determines you can afford for a home in Tooele UT. Since a car is such a big ticket item, it can greatly raise your debt-to-income ratio, which lenders use to determine how much of a mortgage you can afford.
Do Not Move Money Between Accounts. When the lender does the work to determine your eligibility for a loan, they will request statements from all of your accounts that contain liquid assets. When you move money around between these amounts, especially if they are large amounts, you will have withdrawals in some and deposits in others. The lender will request the documentation for these. Unless you want to keep up with all this paperwork, it’s much easier to leave the money where it is until after you have completed buying a Tooele home.
Do Not Change Banks. This can easily be coupled with moving money between accounts. It just creates additional paperwork for you and the lender. To make it easier on yourself and the lender, stay with your current bank until the Tooele home mortgage is complete.
Do Not Become Self-Employed or change jobs if you are employed part-time. Either of these could have a negative affect on your mortgage approval. In most cases, lenders want to see at least two years of self-employment before they will approve you for a loan. For part-time workers changing jobs creates unpredictability in the number of hours that you will work from one week to the next. As such, the lender cannot determine your gross income to qualify you for a loan. Stay with your current job until you have the loan, then change.
Do Not Apply For a Credit Card. Even though the inquiry won’t hurt your credit too badly if you already have a good credit score, the additional credit card will cause the lender to question your financial stability for buying a home or condo in Tooele UT.
Do Not Make a Large Purchase. Of course you are going to need furniture when buying a home. Resist the urge to purchases a new sofa set until after you have obtained the mortgage. Big ticket items purchased before buying a home can cause the lender to take a second look at your financial situation.
When you are buying a home, it is best to stay away from anything that will make it look as though you don’t have your finances under control. However, as a side note, after you close, be sure and do your furniture shopping locally. Shop in Tooele Utah.
To search for that Tooele home to buy, stop by www.tooelehomes4sale.com and see hundreds of listings of houses, condos and new homes for sale in the county.
You can also visit our blog to stay current with all things Real Estate, and even learn more than 6 things not to do before buying a Home in Tooele UT.