The home buying closing process is full of paperwork, contracts, checklists, and market changes which a home buyer must understand. Sometimes buyers and their agents receive relief by obtaining approvals however, they forget that there is a lot more to the process . Here is a list of Prior-to-Closing conditions that could delay your closing:
1. Updated Income/Asset Documentation
As you move through the process, you provide a mountain of documentation to your lender. Chances are lender may ask you for updated documents, financial statements, bank statements, and new paystubs as you get closer to closing. Be sure you have all necessary documents up to date to speed up the process.
2. Employment Verification
You cannot obtain a loan if your employment details are not complete. Your lender has to make sure that you’re still actively employed and working in the same position as listed on your loan application form. If you’ve gone through any major life events such as job change, married, maternity leave or other surgeries, it is important to inform your lender ahead of time. Remember, if you fail to update your underwriter and in the meanwhile, they start uncovering surprises, your file could kept on hold to do a bunch of unnecessary digging. If there are any other issues that you failed to mention, you could delay your home buying process.
3. Homeowners coverage
Lenders want to review your homeowner’s insurance policy several days prior to home closing process to make sure the policy is sufficient and it is a accurate account for your new home. Insurance coverage can be difficult to obtain if you have poor credit claims or a poor credit history. If your credit or claims history isn’t good, you may face difficulty in getting mortgage loans.
How may we help you?
At United Counselors, we educate our clients about the top mortgage programs available. We are knowledgeable professionals that can help you with a smooth home buying process. Our organization helps you understand the credit requirements, mortgage market, tax implications ,and other important things that are relevant for a successful closing process.
If you are interested, please visit www.unitedcounselors.org.