Getting Pre-Approved Is Only The First Step
Once you have been pre-approved, gone home shopping, and got your home under contract, this is just half the journey of the home buying process. The biggest hurdle many times to cross for so many buyers is the financial contingency period. We have heard so many horrors stories when it comes to buyers not able to close because they missed this crucial step in their home buying process.
It is important as a home buyer to have discipline with your finances when it comes to trying to finish out this home buying journey without a hitch. Doing things like using your credit cards adding unnecessary debt, buying a new car, or taking out a loan can deeply impact whether you will make it to closing day and get into your new home.
Understand The Financial Step Of Home Buying
This is why we make sure that we always educate our clients to make sound decisions finance wise until the loan closes. We also offer to listen to what they are looking to do, so that we can act as consultants to steer them in the right direction. Sancha is a former mortgage underwriter and has been in the business of reviewing files to know if a person gets a loan or not, there are so many things that can make a difference in an underwriter’s minds on whether the loan is approved.
The financial contingency period is always tricky because although there are standards in place for underwriting home loans, each underwriter is well within their rights to request items that may go deeper than another underwriter and with that being the case, you don’t want much changing with your financial profile other than paying down debt. Paying down unnecessary debt can improve the look and feel of your loan process.
A Lost Closing
I can recall moving into our new home 6 years ago and while they were building our home, we because acquainted with the family across the street. So when we were out to view the progress on our new construction home in Gwinnett, we would talk and we both were excited about moving in.
But 2 weeks prior to their closing, when their loan was in underwriting, there had been a change in their financial profile the impacted their loan and their beautiful home that they spent their money and time on didn’t close. It was quite unfortunate and this kind of thing happens daily when it comes to closing home loans.
Watch Your Financial Profile
So again, home buyers are missing the crucial step of keeping their financial profile consistent during the buying process. It is important that your real estate agent understands this and while you will be assigned a loan officer, you will need all hands on deck when it comes to getting your home to close without much issue.
Did you know that looking for homes for sale in Gwinnett GA and surrounding areas has presented many challenges for buyers? It is important that you remain abreast of the latest homes for sale in Gwinnett. Having the right list of homes is key to buying your next home.