This Mortgage Process Is Giving Me A Headache! – The Do’s And Don’ts For A Smoother Application

Buying a house is probably one of the most stressful events in anyone’s life. In fact, it has been said that house buying can not only cause and/or exacerbate depression, but it can also cause weight loss. The stress and worries of buying a house also hastens up aging, causing premature aging in some.

The process of house buying – from mortgage application to the completion of the house – may be very stressful, but you have no choice but to go through it all. However, there are ways though that you can lessen the stress, and one of them is by ensuring a smooth mortgage application process. Below are the do’s and don’ts that you should know of.

Do Ask

If there is anything that confuses you about your mortgage application, do ask your loan officer. Never be afraid to ask any questions regarding your mortgage application. People will have different opinions about your queries, but if you want to be assured, then give your loan officer a call. He knows the ins and outs of the process and he is better equipped to answer all your questions, than someone who almost but not quite sold a house in his day.

Do Be Available

During the mortgage application process, your loan officer will get in touch with you for questions and updates, so do make yourself available for his calls and emails. Keep your mobile phone with you and try to check your emails regularly so you can quickly update him or answer his queries. If you are going out of town or if you are going somewhere where there is a poor reception or no signal, then be sure to inform your loan officer.

Do Prepare

If you want a smooth application process, then do prepare all the necessary papers. Your loan office will give you a list of all the documents, and it is your obligation to see to it that you complete the requirements.

Do Not Max Out Your Credit Card

You want to have the best score possible when you apply for a mortgage. A good credit score increases your chances of getting better interest rates, and it can even help speed up the process of your mortgage application. A bad credit history, on the other hand, does the complete opposite since lenders consider people with bad credit history a high-risk.

One of the ways to take a huge bite out of your credit score is by maxing out your credit card, says Hayden Homes, a reputable home builder based in Oregon. Not only are you at risk of losing up to 100 points of your credit score, but you are also at risk of over-limit fees. A huge drop in your credit score is not good if you are in the middle of the mortgage application process.

Do Not Change or Quit Jobs

Your employment stability plays a huge role in the application process. Quitting your job or changing jobs in the middle of the process can drastically affect your loan approval.

Should there be any changes to your work – a promotion, a change in work location, an increase in income, or a dismissal – be sure to inform your loan officer immediately.

Jennifer Dalley is a blogger for real estate sites. She writes about tips and advice for smoother mortgage application process.