Important Mortgage Dos and Don'ts

Here are a few items to remember while your loan is in processing:

eSign, eSign, eSign!  We believe in savings trees (and saving time)!  Instead of printing out the dozens of disclosures the government requires and having you physically sign them, we will deliver them to your electronically.  It is very important that you check your email frequently to see if any disclosures require your attention. 

If you don't "eSign" disclosures promptly, we're required by law to snail mail them, and wait additional time for you to receive the disclosures before we can continue.  There are FOUR EMAILS that will require your prompt attention.  Don't worry!  I'll notify you when each email is delivered to let you know it's there.

Be prompt with your paperwork!  Collecting all the paperwork necessary to close your loan is an ongoing process.  But in order to make sure your loan closes on time, I need everything on my desk ten days before your closing date.  That means the money you're using for closing should be in your checking account ready to wire to escrow.  Any repairs to the property should be complete and appraisal updated.  And homeowner's insurance should be in place.  We need time to process the paperwork, get closing documents to escrow, sign, and fund/record.

Don't let anyone pull your credit.  One of the last things your processor will do right before closing is pull credit again.  (It's a "soft" credit pull and won't result in a new inquiry).  Your processor is looking to see if you've opened any new credit accounts.  New credit inquiries will require an explanation and could delay closing.

Please don't let anyone pull credit for any reason!  Don't apply for a credit card at the ball game to get the free Mariner's blanket.  Don't apply for an Amazon Prime card to get free shipping.  Don't buy furniture or appliances (even for 12-months free interest!).

Be a model financial citizen while your loan is in processing!  Don't increase the balances on your credit cards.  Pay your bills on time (including mortgages you might be refinancing).  Don't quit your job or change jobs.  Don't bounce any checks or let your automatic overdraft protection cover insufficient balances.  Don't buy a car (unless you pay cash).  File your taxes promptly (and pay any amounts due).  Return your library books on time.  You get the idea!

Beware of large deposits!  Your underwriter may question deposits into your bank account that aren't clearly payroll deposits.  Be prepared to provide an explanation.  And by all means, do not deposit cash into your bank account for any reason!  We can't prove where cash originated.

If you need to deposit money (you sold a car, roommate paid for his share of the utilities, friend paid you back for concert tickets, etc), make sure you get a check and a sales receipt signed by both parties.

Be stingy!  Don't send paperwork to anyone other than your loan officer or your processor.  You may see a fax cover sheet that directs you to fax items directly to underwriting.  Please don't do that!  Your processor and I prefer to review all documentation before it gets to underwriting.

Let us know how we can help!  Your processor and I are here to assist you every step of the way.  If you need assistance or have questions, please let us know.