October 18, 2023

9 PITFALLS that can trip up your loan closing. 

Just because you’re pre-approved doesn’t mean your loan is a done deal.

AVOID these mistakes so you don’t jeopardize your loan approval:

  • Don’t make a big-ticket purchase. Could deplete cash reserves or limit ability to repay. 
  • Don’t quit or switch your job. Makes it harder to verify income stability. 
  • Don’t open or close lines of credit. May see you as a riskier borrower. 
  • Don’t pay bills late. Dings your credit score. 
  • Don’t ignore questions from your lender or broker. Could delay or postpone the closing date. 
  • Don’t let someone run a credit check on you. Inquiries can lower your credit score. 
  • Don’t make large deposits into your accounts. Unverified deposits may raise questions. 
  • Don’t change bank accounts. Slows down verification. 
  • Don’t take out or co-sign any new loans. Increases debt-to-income (DTI) ratio and can limit ability to repay. 
mortgage approval mistakes

What should you DO?

Maintain the status quo

Avoid making financial changes

Enjoy yourself when you become a homeowner!

If you have concerns, consult one of our loan officers!