Things to Avoid Doing When Buying a House

Prospective homebuyers should keep their debt to income ratio in mind as they work on the pre-approval process and through the purchase process.  That means avoiding large credit purchases, such as buying a new car or opening up a new credit card account as these can impact both credit score and the debt to income ratio.  It’s really important to note that a pre-approval does not guarantee the loan.  Once the home is in contract the loan will go through the process of underwriting which is a very detailed process for verifying all of the information provided by the buyer, and things can change during underwriting, especially if large purchases were made after pre-approval, or information is discovered that was not previously disclosed.  One of the biggest mistakes homebuyers make is increasing their debt after pre-approval which could derail the entire purchase.