1- Do not quit your job until the loan closes and you have the keys in hand. Should you change employment, notify me immediately. Some San Diegans move with the intention of changing jobs AFTER the home purchase; wait until the transaction is closed.
2- Don't take any cash advances on your credit cards. Some lenders are "re-pulling" credit reports, just before loan document preparation. If possible, don't use your credit cards at all until the transaction closes.
3- Don't move money around. Current loan underwriting guidelines require us to verify and track your cash needed to close. Contact me before you transfer funds or withdraw them from an account. We can always have you wire the funds from a certain account and directly to the escrow company.
4- Don't apply for any new credit. A common mistake is to "accept" a free Home Depot card or "apply" for a Visa, atthe Padres game, to get a "free gift". See #2 for the reason.
5- Don't buy a car in the middle of the loan process. Better yet, don't buy any "big-ticket" item (over $500). This includes furniture, a washer/dryer, refrigerator, etc. I know it will "dely" your move butj so will a loan decline (or rework)
6- If you're refinancing, continue to make your mortgage payments ON-TIME. Underwriters aren't letting borrowers "skip" a payment by playing the "grace period game" anymore.
7- If the loan approval requires you to pay off an account, wait until the closing. If you pay it off and I can't verify it, the loan closing will be delayed. I'll arrange to have you pay the accounts off through the loan closing.
8- Don't open or close any credit cards, loans, etc. I once arranged a loan where the borrower was in a car accident, during the loan process, and he had to obtain a car loan before he recived the insurance proceeeds. He called me and we documented it BEFORE he applied for a new car loan.
