Make sure that NOTHING gets in the way of achieving your financing goals! Some DON’Ts of the home loan process may seem obvious, but others not so much. Check out this list to make sure to avoid the TOP 10 DON’Ts during the process of buying a new home.
1. Co-sign on any debt with relatives or friends.
2. Transfer money between accounts, unless receiving complete documentation from your bank itemizing all transfers.
3. Withdraw or deposit large sums into your checking or savings accounts unless absolutely necessary.
4. Make any career moves.
5. Allow your bank accounts to go in the negative, even if you have overdraft protection.
6. Apply for new credit in any form, or apply for credit to consolidate.
7. Have a friend or relative pay for anything related to the purchase of the home (appraisal, earnest money, down payment, etc), since gifts are only allowed under certain guidelines.
8. Keep cash in a safe or an overseas account if you plan to use these funds as a down payment. Inquire about how and when would be the best time to put funds into your U.S. bank account if needed.
9. Close credit card accounts. If you close an account, it may appear that your debt ratio has gone up.
10. Give your personal information to anyone else who might run your credit report, as credit inquiries may hurt your score.