Tips for the First-time Homebuyer
I'd like to discuss some basic dos and don'ts for first-time homebuyers because the loan process can seem overwhelming.
Do get pre-approved and don't go house shopping without knowing what you can afford. Meet with a loan officer first and let them analyze income, assets and the credit report to determine the pre-approved amount. Realtors appreciate pre-approved buyers, so they show homes in the correct price range.
Don't open or close credit lines, co-sign loans or make major purchases during the loan process. Many lenders frequently soft-pull credit reports and they check right up to the day of wiring the funds to escrow for closing.Â Don't buy that car thinking the lender wouldn't know, they know.
Do maintain current employment and income, keep it steady during the loan process. There have been exceptions to job changes if the borrower is staying in the same line of work with the same or better income, otherwise it's best to not change jobs.
Do keep a paper trail of any large non-cash, non-payroll deposits and don't deposit large cash amounts. Lenders generally won't honor large cash deposits as there is no way to paper trail them. If a borrower believes they will be receiving a large deposit, they should talk to the mortgage professional first about an alternate solution or exception.
I'm available to meet with new buyers to get a game plan together so they can be prepared and pre-approved to find the house of their dreams.
Robert Groves, Senior Mortgage Broker
5635 N.E. Elam Young Parkway, Suite 308
Hillsboro, OR 97124