Monday, May 17, 2010

In Escrow? Stop Spending Immediately!

Congratulations, you have found your dream home and are now in escrow. Your Loan Officer has run your credit, pre-approved you and is now working on getting your finances finalized.

You are packing up your belongings and excitedly planning where everything will go in your new home, and what extras you will need – carpet, paint, lawn mower, etc. BUT STOP RIGHT THERE!

Beginning June 1st, your Loan Officer will be required to run your credit for a SECOND time right before your mortgage is fully funded. The last minute credit report is designed to find out whether you’ve increased your current credit debt, obtained, or even applied for, new debt – a Home Depot credit card for example - between your initial loan application and closing. Anything you may have applied for – furnishings, line of credit, new car, landscaping, new credit card, or even purchased, anything – could potentially threaten the ability to finally obtain and close your mortgage. EVEN IF YOU HAVE JUST APPLIED BUT NOT YET SPENT.

Be patient, don’t even think of applying or spending on current cards until you have closed escrow, it’s better to be safe than sorry.

Need more information, let me know, I am here, I can help!


Jane Loveday
Windermere Real Estate Agent
Cell: 619-519-1615
http://janeloveday.com
http://www.facebook.com/realestatesandiego

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