BLOG POST | JULY 2020
Mortgage Do's and Don'ts
Purchasing your home is one of the largest investments that you will make in your lifetime. At C&F Mortgage, we’re here to help you though the process and ensure that you’re successful. There are some important things to note as you go through the mortgage application process - check them out below!
• Keep Records in Good Order
o Keep financial records nearby in case updates are requested.
o Hold onto pay stubs and tax transcripts, as underwriters use these to verify income information.
o Save incoming account statements for any assets.
o Any gift money will need to be accompanied by a gift letter (we’ll provide) and an account statement evidencing the source.
o If you’re renting, continue paying rent and save proof of payment. If you’re selling your current home, be prepared to show your Closing Disclosure. If you’ll be renting your home, you may need to show sufficient equity, a lease and receipt of the first month’s rent and security deposit.
• Keep Your Credit Shiny
o Continue making on-time payments. Your credit report may be pulled again, and any negative changes to your score can impact your mortgage
• Understand Things Have Changed
o Underwriters require more documentation now than in the past. Please be prepared to answer questions and provide necessary information, no matter how silly the request may seem!
• Apply for New Credit
o Changes in credit can cause delays, change terms of financing or even prevent closing.
• Change Jobs
o It’s best to avoid any career or status changes (such as moving from a salaried to commissioned position, taking a leave of absence, etc.) while going through the mortgage process.
• Make Undocumented Deposits
o Primarily large, but sometimes even small deposits must be sourced. Make copies of checks and deposit slips.
• Wait to Liquidate Funds from Stock or Retirement Accounts
o If you need to sell investments, do it now and document the transaction. Don’t take the risk that the market could move against you, leaving you short of funds to close.
And finally, never be afraid to ask questions! If you’re uncertain about what you need or should do, we’re here to help you through the process from beginning to end. Please feel free to reach out anytime!
We're focused on you!
The information contained herein (including but not limited to any description of C&F Mortgage Corporation and its lending programs and products, eligibility criteria, interest rates, fees and all other loan terms) is subject to change without notice. Restrictions apply. This is an advertisement and not a commitment to lend. C&F Mortgage Corporation NMLS# 147312 Equal Housing Lender.