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The Do’s & Don’ts of the Mortgage Process

Mortgage Credit Check

While you are considering the purchase of a new home or exploring refinancing your current home, you should not do anything that will have an adverse effect on your loan from this point through the rest of the process. It’s also good to prepare mentally for the required documentation and heavy regulatory changes by the US government since the 2008 housing crisis. Please stay in close contact with your licensed Loan Consultant for the most accurate updates and timelines to plan.

To have your pre-approval or loan commitment remain valid please pay close attention to these do’s and don’ts below:

Mortgage Documents
  • Keep all originals, and have access to all of your pay-stubs, bank statements and other important financial documents.

  • Provide all documentation for the sale of your car personal items, if any current home, including sales contract, closing statement, employer relocation/buy-out program if applicable.

  • Always watch your new credit report. It could have been just pulled prior to closing.

  • Provide your Earnest Money Deposit from your own personal bank account or acceptable gift funds.

  • Notify your Loan Originator if you plan to receive gift funds for closing.

  • Notify your Loan Officer of any employment changes such as recent raises, promotion, transfer, change of pay status, for example, salary to commission.

  • Stay employed if employment income is used for loan approval.

  • Save money to your account provided for verification of assets.

  • Make timely payment on all current debt obligations, including any current mortgage, car, student loan or credit card.

  • Notify loan officer regarding any changes to your employment status, (i.e., promotion/demotion, job loss).

  • Notify loan officer of any loss of income.

  • Notify loan officer of any depletion of funds needed to close.

  • Notify loan officer of change of current address, phone or email.

  • Notify loan officer if you expect to receive gift from relative, employer, union hall or non-for-profit organization.

  • Notify loan officer of any deposit you expect to make not related to your payroll, pension, SSI or income tax refund.
  • Close or open any asset accounts or transfer funds between accounts without receiving the correct documentation required for your loan.

  • Change jobs/employer without inquiring about the impact this change might have on your loan.

  • Schedule any vacation or time off for any reason if all possible before closing.

  • Take any unpaid time off.

  • Change your legal name.

  • Advance of any cash from credit card or borrow funds for closing.

  • Make major purchases prior to or during your contract, such as new car, furniture, appliances, etc. as this may impact your loan qualification.

  • Open or increase any liabilities, including credit cards, student loans or other lines of credit during the loan process.

  • Deposit any monies outside of your payroll deposits, particularly cash or sale of personal property. Many guidelines require substantial documentation as to the source of these deposits.

  • Alter any documents in any way.

Please notify your Loan Consultant immediately if there are any changes to your employment, income, credit profile, or any other area(s) which may impact your loan approval.

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