Good Credit Getting A Mortgage Loan If You Have Good Credit Make Sure
You Do These Things

Good Credit Getting A Mortgage Loan If You Have Good Credit Make Sure You Do These Things

Good Credit & Getting a​ Mortgage Loan - If you​ Have Good Credit,​ Make Sure you​ Do These Things
Whether you​ are buying a​ new home,​ refinancing or​ getting a​ home equity loan,​ your credit report is​ perhaps the​ most significant factor in​ determining your mortgage application’s approval,​ interest rate and monthly payment .​
It is​ important that borrowers do everything they can to​ protect their situation during the​ application phase .​
There are a​ few recommendations for borrowers while their paperwork is​ being processed that are designed to​ ensure they receive the​ best possible rates and terms.
Very simply,​ it​ is​ essential that borrowers do not jeopardize their chances of​ the​ best possible rate and terms during the​ application phase of​ the​ mortgage,​ therefore they should refrain from any financial activity that will significantly alter their credit profile .​
For example,​ mortgage applicants should not apply for,​ or​ accept,​ any new credit cards or​ other loans while their mortgage paperwork is​ being processed .​
They should delay any major purchases,​ such as​ cars,​ until after they have settled on​ their property and signed all applicable mortgage documents.
Since the​ mortgage approval process can take several weeks,​ and sometimes even months,​ lenders will commonly pull an​ additional credit report just prior to​ settlement to​ look for significant changes to​ a​ borrower’s profile that would otherwise change the​ terms of​ their approval .​
In the​ event that something new is​ noted,​ the​ lender reserves the​ right to​ withdrawal their initial offer until further underwriting and consideration can be completed.
Additionally,​ it​ is​ important that borrowers refrain from transfers into or​ out of​ existing bank accounts once the​ mortgage application has been submitted .​
Since lenders evaluate a​ borrower’s financial stability,​ any noticeable changes in​ account status or​ balances may further alter the​ terms of​ approval and/or interest rates .​
Borrowers should be cognizant that their normal daily routines should continue,​ and nothing out of​ the​ ordinary should be brought to​ a​ lender’s attention.

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