First time home buyers have lots to think about when they’re buying their home. I mean, come on. It’s their FIRST home.
You know the feeling. You’re kind of a big deal.
But, sadly, experience has come to teach us that oftentimes our exuberant buyers forget that they are buying a home. Crazy, right? Who would forget about that?
We get it. It’s exciting. You can afford a house, so why not a boat too?
Wait, what?! Don’t do it! Not the gumdrop buttons… or a boat!! (Shrek reference… don’t know where that came from.)
To prevent you from falling into these common traps, we put together a list for ya. Because we know you like lists.
1.Don’t quit your day job.
Have a sudden entrepreneurial itch?
Scratch it after you move in. Any major job change or loss can severely impact or even cancel your loan.
I know, I know. Absolute craziness that they require you to have a job to obtain a loan.
I don’t make the rules folks. I just hold your hand while you cry after you break them.
2. Don’t apply for more credit.
If you’re not paying cash for your house, then you’ve got a loan. That loan is not separate from your other lines of credit. Anything major happens to them, it directly affects your loan.
3. Don’t make any major purchases.
Personally, I consider a home a major purchase. So, why don’t you put off any other major purchases that require another line of credit until after closing (or according to Dave Ramsey, ,until you can pay cash.)
No boats, planes, hotels, or islands. Stay classy people.
4. Don’t make any late payments on your credit cards.
Being late is bad all the way around. When have you ever heard someone say that being late is good?
Late to a meeting, could lose your job.
Late on your period, you could be preggers.
Late to the delivery room and you miss said baby.
Moral of the story? Don’t be late.
5. Don’t apply for credit anywhere else except with your lender.
Don’t ask why. This is simply because we said so.
Really though, this causes more inquiries into your credit and could lower your credit score, which could forfeit your loan, or drive up your interest rate.
No good either way.
Notice a theme in this post? (Hint: it starts with D, ends with T and has a ON’ in the middle.)
Basically, as your cranky (but immensely lovable) real estate consultants, we’d rather you did nothing drastic until after you have closed on your awesome new home.
Questions? Comments? Let us know!