Spring Hill Realty TN – Purchasing Checklist

• Keep making payments on time for cars, credit cards, rent, or current mortgage. Credit scores are a funny thing. If you miss one of these payments, your score can drop significantly, especially in the short-term, just long enough to mess up the closing on your new spring hill realty investment.
• Keep good financial records, especially about any large deposits/withdrawals. Banks are particularly interested in knowing where a down payment comes from because it’s an indicator of whether you’ll be able to repay. If you have savings in the bank for several years, its much better than borrowing the downpayment on a credit card. They also want to know if family is lending you the downpayment.
• Keep all bank statements, tax documents, pay stubs, large receipts, etc., in case the loan office needs any last minute paperwork. While closing realty with the market being so volatile right now, the underwriter could ask for anything, and you want to be sure to have it.
• Keep the loan officer updated if anything in your financial situation changes. It might be tempting to withhold information, but doing so might kill your spring hill realty deal at the last minute. The seller is going to be much more understanding if you request an extension a couple of weeks from closing rather than at the closing table. Keep in mind that by the time you get to closing, the seller has already spent money on moving out, storage, moving in to new house, etc.
• Keep a copy of your bank statement or check showing where the earnest money you paid was deposited. The earnest money should be credited to you toward the purchase price. Once or twice, I’ve noticed errors at closing. You’ll want to keep an eye on it because closing agents and their assists deal with lots of numbers everyday and could miss something. In most cases, you can have the earnest money credited towards closing costs so that you don’t have to bring as much cash to closing, but you’ll want to let the closing agent know because many default to apply it to the loan. Of course, the earnest money isn’t going to make a dent in the loan, but it could make a dent in the closing costs.
• Be sure you’re aware of the amount of closing costs you’ll need to pay. Many spring hill tn realty buyers are surprised at the cost of closing real estate and all the different fees involved.
• The real estate agent and closing agent should remind you about this, but be sure to have homeowners insurances lined up. Typically, lenders will not close the loan without an insurance policy in place.
• Don’t increase credit card balances, take out new credit cards (including store cards), buy new furniture/appliances on credit (a very sad occurence if new furniture keeps someone from getting their new home).
• Don’t neglect any credit card/collections payments during the realty closing process. A couple of dings to credit can derail an entire closing.
• Don’t withdrawal large amounts from checking or savings. These amounts are used as part of the approval and can be checked right up until the realty closes. Bankers are very suspicious if you use your amount in savings to get approved; then, it suddently disappeared. It makes them think that someone loaned you the money just to get approved.
• Don’t quit or change jobs.