A little advice to go a long way

Posted: Jun 24, 2006 12:01 AM

Call it inexperience or lack of knowledge or just being a little naive, but little mistakes can make the loan process a nightmare. So I would like to give a little advice and hopefully it will go a long way to save some borrowers from a nightmare experience.

Many people are now cashing out of expensive areas and going to start over in a less expensive area with a new house, a new job and a new life. They hope to sell their current house and use the money for a down payment and reserves in the new habitat. This is all well and good, however, the way they wish to accomplish this isn't. They want to sell the old house, buy the new house and then move and find a job. Getting a home loan without employment is no easy task. In fact, for most it can't really happen. While you are still working buy a second home in the new place and use some of the equity from the existing house. Then sell your house, quit your job, move and take your time finding a new means of employment. Same result, less aggravation.

When refinancing or purchasing a new property there are things you shouldn't do or your transaction can suffer. Don't quit your current job, don't change jobs and don't make a major purchase such as an automobile. Wait until the transaction is over, it is only about a month, and then do what you wish. Your actions could lower your credit score or increase your ratios so you don't qualify or both. You will be thrilled you waited.

These are just two of hundreds of helpful hints that can save you time, aggravation and most important, money. Call us, Manhattan West at 949-5553 or write to me on the web @ MortgageMinuteGuy.com. We will go out of our way to keep you from doing the type of thing that can hurt the funding of your new loan. We'll show you that knowledge is golden.