What to Do While Waiting for Your Loan Application to Be Approved
There are few periods of financial change as substantial as applying for a home loan. It can be a very confusing time, so it important to keep all the information straight. You never know what will affect your approval, so it is best to play it safe during this turbulent time. Keep this list of things to remember when working toward a new mortgage in mind to help the process run smoothly.
If you keep a copy of every single paper, it will be beneficial for several different reasons. First of all, a lot of information is required of you, so if nothing else, having your documentation handy and organized will speed up the process of applying for a loan. In the worst case scenario, your documents or forms could be lost by the lender, but if you are responsible and keep copies, nothing will be lost. Do not assume anything is not worth keeping a copy. It is especially important to save all your asset statements. Also, you will need to be even more responsible if you bank online. Digital archives are not always reliable or permanent, so make hard copies.
One of the best things you can do in this transitionary period is sit tight and keep shuffling aspects of your life around to a minimum. Some things are unavoidable, like injury or auto accidents, but you should try to avoid everything you do have control over. Do not transfer your money from one bank to another or even from one account to another, put off any major purchases until the loan has been cleared, and if it can be helped, do not change jobs. Your lender is looking for reliability and stability in your life so they will be confident you can make the payments. You do not want to give them any reason to doubt these attributes. If nothing else, changes can delay the mortgage process.
Simply put, you should be responsible and get a handle on as many factors as you can. Having a history of making payments on time is important, but failing to make a payment while your loan is under review is especially hurtful. Do not create new debt, do anything to increase your monthly payments, or make sizable purchases. When in doubt, it is wise to speak with your Loan Officer. Discussing your situation can give you peace of mind and instills confidence in the lender that you are dealing with problems head on. These little things to remember when working toward a new mortgage can make all the difference.