4 Things NOT To Do Once You Have a Mortgage Pre-Approval in Place
- sorenagilkinson
- Sep 27, 2024
- 2 min read
Buying a home is the biggest investment you will ever make as well as the biggest asset you will have and you want to start the adventure of purchasing off on the right foot.
Since you have listened to your favorite Realtor® (that's me!) and have gotten your pre-approval from your favorite local lender, you now want to protect that. What do I mean about protecting a letter? I mean literally - you have big dreams of owning your own home and being able to make it your own and you don't want anything to get in the way of that by way of things that you CAN CONTROL. Here are 4 things that you DO NOT want to do once you have a pre-approval in place because they could negatively impact your ability to use it.
Do not change jobs, quit a job, or get fired. Your pre-approval was based on your job at time of application, your employer, and your history (normally a minimum of 2 years with the same employer) - this includes your title and your wages. Taking a different job means that the clock is going to start over for your employment. Sometimes you may be able to change jobs if you are staying in the same field but will be earning a better wage. Before you accept ANY new positions, have a conversation with your lender to see how that would impact your ability to live in a house of your own. Also, don't quit a job as your pre-approval was based on that income, and whatever you do, don't get fired.
Do not open new credit lines. This means that you cannot open a store card to save 10% on your first purchase, open any credit cards or lines of credit, or go shopping for a vehicle. These changes will impact your debt-to-income ratio which could increase your debt load too high to qualify for a mortgage.
Do not start accumulating debt by carrying large balances or near maxing-out on your credit cards or credit lines. This will also affect your debt-to-income ratio and could disqualify you for a mortgage.
Do not fall into a habit of paying current debts late or not at all. When you begin paying your debts late and not at all, your credit score will begin being impacted and debt-collection agencies will then get involved. Impacting your credit score in a negative manner could also result in a disqualification of a mortgage.
After reading how these actions could have adverse affects, I encourage you to protect that pre-approval to stay on the path to home-ownership. For more tips and client education, make sure to follow my blog, and my social media sites and then give me a call when you are ready for any adventure in real estate, I would be honored to work with you.
Sorena Gilkinson
Lic. Associate Real Estate Broker
ERA Team VP Real Estate
4478 W. Lake Rd., Mayville, NY 14757
C: 716-269-4129 | sorenagerateamvp@gmail.com
O: 716-413-0200
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