During the last great recession, which shook the total economy of the U.S.A. as well as the most parts of the world, it was mainly because of the mortgage foreclosures. All over the country, borrowers had a problem paying their mortgages. Many borrowers at that time were making attempts to refinance the existing mortgage.
Most of the high-end homeowners also were facing trouble with foreclosures. Do you know why so many citizens had a concern with their mortgages? That is because of a few common mortgage mistakes that are relevant even today.
If your Mortgage Expert like Jill Burgess is on your side then you can always remain free from committing such mistakes while applying for mortgages Winston Salem.
What are those mistakes to avoid?
- Filing bankruptcy
Avoid filing any bankruptcy/foreclosure that may keep you out from mortgage for several years.
- Not locking the mortgage rate
Failing to lock your present mortgage interest rate may increase in the future.
- Listing the property before refinancing
Never list your property and then attempt to refinance the mortgage within 6 months.
- In your credit report, you have major derogatory accounts
Always review your credit score regularly to ensure no surprises present.
- Not exactly knowing what actually you can afford
You must always get pre-qualified/pre-approved before start looking for homes.
- Opening any new credit cards
Opening new credit can always hurt your credit rating and increase the debt load.
- Applying for any mortgage by showing limited employment history
You must first prove to your lenders that you can continue to earn from your employment.
- Not possessing seasoned assets or any rental history
Never attempt to apply for any mortgage without documenting your last 12-month’s housing history.
- Applying without having a solid credit history
Your mortgage may not be approved without your good credit history.
- Failing to do shopping around
Compare various products before you buy any.