prepping for closing day

You did it! You're under contract, packing up your apartment and anticipating those keys being handed over. You're not done yet! Here are some things to avoid before the magical closing day.

have a slow response time. Not responding in a timely manner to your lender when they reach out may result in a delay in the process.

pay bills late. One of the most important elements of your credit score is an on-time payment history. Be sure to remember to pay your bills on time!

change job status. Changing your job status may delay your closing. Be sure to discuss your current situation with your lender to see how it may influence your process.

apply for new credit. If possible, try to avoid making new purchases or opening lines of credit while you wait to close on your loan. Applying for new credit may negatively affect your credit score and current mortgage process.

close lines of credit. While closing unused credit accounts or transferring debt to a credit card with a lower interest rate may be a good idea, it is best to wait until after your closing date. Sometimes this may affect your credit score.

deposit or transfer a large amount of money. You’ll have to provide your most recent bank statements before you go to closing. If you do have a large or unusual deposit before closing, be prepared to provide complete documentation of where the money came from.

co-sign a loan with someone. In addition to having another credit inquiry that may affect your credit, this could also increase your debt-to-income ratio; both of these things could affect your current loan process.

change bank accounts. Lenders look for two things, where your money is coming from and how long it has been in your account. Changing banks may mean up to 60 days of delay while you re-verify your income.

apply for a payday loan. Even though payday loans are normally for small amounts of money, they also typically come with a higher annual percentage rate. While it may seem like a good idea in lieu of using your cash on hand, it could negatively affect your credit score and current mortgage process if the lender reports loan activity to credit reporting agencies.

provide false information. Be extremely truthful with your lender. Even honest mistakes or small stretches of the truth may cause your application to be rejected or delayed.

book the moving truck. Before you confirm that move-in day, check with your community builder. We're in the glorious midwest and sometimes our weather can cause delays. Or, if the above items happen, it could delay your mortgage process. You'll have weekly connections with your community builder. As you get close to that close date, your community builder and community manager will confirm that closing date for you. It's also important to note that, legally, we can't hand over the keys until your loan is funded. This can take a few hours or even a day after you've signed all your documents.