About Mortgage Loans
The Mortgage Loan Process
Tips to make it as stress free as possible
We have all heard the horror stories of families with their bags packed and ready to move, only to learn they aren’t really approved. We’ve built more than 2000 homes over the years and have seen these things happen. Usually problems occur when a buyer unwittingly does something to affect their approval status. We’ve compiled some tips to help make the process run more smoothly for you:
- Under no circumstances should you acquire additional debt of any kind after you have decided to purchase a new home. Many lenders pull a credit report the day before closing and additional debt may affect your debt ratio and change your ability to quality for your home loan.
- During the construction of your new home, don’t apply to new loans of any kind.
- Take care not to have any NSF checks show up on your statements. Lenders typically ask for fresh copies of your bank statements before closing. Keep your account clean of NSF fees and with a positive balance.
- Be certain you remain current on all of your debt obligations. Your lender will pull a credit report before closing and a past due payment could disqualify your from qualifying for your mortgage.
- Always know your credit score and monitor your credit report. You are entitled to one free credit report for your and can obtain your copy at AnnualCreditReport.com. You can also dispute any inaccuracies online. It is very important to begin this process early in your home buying experience.
Many times a derogatory account will be reflected several times, first as past due with the original creditor and then as a collection. If the collection is sold from one agency to another, if may show multiple times. For additional information on this subject, visit creditinfocenter.com.
- Document. Document. Document. We have provided you with an extensive “Mortgage Application Worksheet.” Complete this early in the process. The only information the lender will have about you is the documents you provide.
- Select an Insurance company early.