Avoid These 3 Common Mistakes Before Closing on Your New Home

You’ve found your dream home, secured financing, and everything is moving along smoothly. Congratulations! You’re almost at the finish line, but before you pop the champagne, there are a few critical things you need to avoid in the final stretch. These last few weeks leading up to closing are just as important as the months of preparation that got you here.

While it may feel tempting to make a few final moves, these common missteps could jeopardize your home purchase. Here's what you absolutely need to avoid:

1. Don’t Open New Credit Accounts

It’s hard to resist those enticing offers for new credit cards, furniture financing, or store promotions. However, opening new credit accounts before closing could have serious consequences. Lenders will check your credit one last time before closing, and adding new debt or lowering your credit score at this stage could cause your loan approval to fall through. No matter how tempting, wait until after closing to make any changes to your credit.

2. Don’t Change Jobs

We know the thought of a new job or career opportunity might be exciting, but making a career change before your home closing could send up red flags for your lender. Lenders prefer to see stability, especially during the final stages of the loan approval process. If possible, it’s best to hold off on any job changes until after you’ve officially closed on your new home. Stability is key when it comes to finalizing your loan.

3. Don’t Move Money Around Without Consulting Your Lender

Moving money between accounts, making large deposits, or transferring funds can raise alarms for your lender. If your financial situation appears to be changing unexpectedly, your lender may need additional documentation or clarification, which can delay your closing. It’s essential to keep your financial transactions steady and consult your lender if you need to make any moves with your money. Clear communication is the key to avoiding any confusion and keeping your closing date on track.

These actions may seem like small, harmless changes, but they can be the difference between closing on time and facing unnecessary delays. Your lender is closely monitoring your financial situation right up to the last day, and they will be looking for any red flags that could affect your loan approval.

If you’re preparing for closing and want to keep the process smooth and stress-free, 6 Star Realty is here to guide you every step of the way. Our team is dedicated to helping you navigate through these final steps with confidence, ensuring you’ll soon be holding the keys to your dream home.

Ready to make your move? Let us know how we can help!