Things Not to Do Before Closing on your home

Navigating the path to homeownership is an exciting journey, but it's also one that demands careful financial stewardship. As you inch closer to closing the deal on your dream home, it's imperative to be mindful of certain financial actions that can either make or break the process. In this guide, we'll delve into the critical do's and don'ts of home buying. From resisting the urge to splurge on major purchases to understanding the repercussions of changing jobs or opening new credit accounts, we'll equip you with the knowledge you need to ensure a seamless closing process and turn your homeownership dreams into reality. So, let's embark on this journey and secure your place to call home!

1. Don't make any major purchases: It's important to avoid making any big purchases before closing on your home. This includes buying a car, furniture, or other expensive items that could affect your credit score or debt-to-income ratio.
   
   

2. Don't change jobs: Changing jobs before closing on your home can be a red flag to lenders, as it can indicate instability in your income. If you have to change jobs, be sure to notify your lender and provide them with your new employment information.
   
   

3. Don't open new credit accounts: Opening new credit accounts can also affect your credit score and debt-to-income ratio. It's best to avoid applying for new credit cards or loans until after closing on your home.
   
   

4. Don't miss any payments: Missing a payment on a credit card or other debt can negatively impact your credit score and potentially jeopardize your home loan approval. Be sure to make all payments on time and in full.
   
   

5. Don't make large deposits or withdrawals: Making large deposits or withdrawals from your bank account can raise questions from your lender about the source of your funds. If you need to make a large deposit, be sure to keep a paper trail and explain the source of the funds to your lender.

By avoiding these common mistakes, you can help ensure a smooth closing process and secure your dream home. Good luck with your home purchase!