Misa Rohan MLO NMLS 1997716/1850

Here are 4 of the biggest don'ts of the loan process! Once you're pre-approved or under contract, any changes may impact your eligibility.

1️⃣ Don't apply for new credit. Not only will new credit pulls potentially lower your FICO score, adding new debts will increase your DTI (debt-to-income) ratio, therefore lowering your purchasing power.

2️⃣ Don't move money around without a paper trail! All funds required for your loan are tracked to ensure they're from an eligible source. $5,000 from the shoe box under your bed typically isn't an acceptable source.

3️⃣ Don't skip a payment or make a late payment. This will negatively impact your credit score and potentially deem you ineligible for certain loan programs.

4️⃣ Don't change jobs if you can help it. This is especially true if you're changing the way you're being paid, such as going from W2 to 1099.

Bottom line is talk to your LO before making any changes to your financial standing, especially if you're already under contract. Even if the circumstances seem favorable, such as a new job offer with higher pay, this may impact your eligibility.

If you have any upcoming changes and are unsure what implications they have on your homeownership goals, message me your questions 🙂