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POV: You got pre-approved, started house hunting and now you’ve finally found your dream home and your offer has been accepted!!
Now, we’re on the way to closing and it’s time to make large purchases on furniture and move some money around to prepare for the new house, right?! NOPE! Stop right there. Before you do anything, it is crucial to speak with your lender so that you know what will impact your loan and how something may impact your loan. In the mean time, here are some things to avoid before closing day.

1. Don’t Deposit Cash or Change Bank Accounts


Before you deposit any cash into your bank accounts, be sure to discuss the best way to document that cash with your bank or lender. Your finances need to be tracked and cash is not easily traceable. A professional will help you avoid any issues! And by not changing bank accounts, you are making it easier to track your assets. Consistency is key!

2. Don’t Make Large Purchases!


You’ve probably heard this one! And there certainly are some closing day horror stories. Do not make any large purchases, period. For example, buying a new car means you have a new debt and a new monthly obligation. This absolutely has to be factored into your loan and in some cases, potential new home owners have lost out on their home on closing day because they no longer qualify for the loan they had previously secured! Be careful with this one. It’s better to just wait until after closing day.

3. Don’t Co-Sign for Others


Again, this simply goes back to gaining a new debt. Even if you are confident that you are not going to be the one making the payments, your lender still has to count those payments against you. Ouch.

4. Don’t Apply for a New Credit Card


There it is again. Any new debt is a new obligation that may hinder your availability for that loan you need for your dream home.

5. Don’t Close any Credit Accounts


It is beneficial to you for your lender to be able to see the length and depth of your credit history. They will not be solely looking at the payment history, but it’s better to keep these accounts open for reference. Closing an account will not make you appear less risky or improve your potential for approval.


Ask Your Lender


Long story short—ask your lender. Before you make any financial decisions, run it by your trusted professional. No question is a dumb question if it keeps you from losing out on your dream home. Fully disclose any changes with your lender, including employment changes. Your lender and your agent are on your team and ready to help and inform you to get you to closing day!