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pre-approval, your bank checks your credit and examines your income, assets, and employment. "Before shopping for a home, get pre-approved," advises Litzner. "Many sellers won't take you seriously otherwise."
Applying for new credit AND a new mortgage. "Do not apply for a new line of credit before or during the mortgage application process – it hints at financial instability, and you're seen as a greater risk," says Litzner.
Changing jobs. If you're thinking about switching jobs, then hold off on the mortgage application, or stick out your current position for longer. "While a change in the same field doesn't necessarily mean you will be rejected, a big change - like a brand new career - can be a red flag," notes Litzner.
Not seasoning your assets. Uncle John is giving you $10,000 to put toward your mortgage? Terrific. Make sure it's in your account months before you apply for a mortgage. New funds do not equate to financial stability, and your underwriter will catch on.
For more information on obtaining a mortgage, please contact Century 21 American Homes at 1-800-270-6318.
Century 21 American Homes is one of the fastest growing real estate brokerages serving Long Island, Queens and Brooklyn. To find out more about an exciting career in real estate contact us at careers@c21amhomes.com.
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