What NOT To Do In The Final Days Before You Close … by Dan Vollmer , Associate Broker , ReMax 1st Olympic
8 — Say you saw it in The Real Estate Browser of Lynchburg — Volume 8 Number 1 www . LynchburgRealEstateBrowser . com
What NOT To Do In The Final Days Before You Close … by Dan Vollmer , Associate Broker , ReMax 1st Olympic
There are some things in life you just assume everybody knows . Like how to ties your shoes , or the fact that onions make you cry , or the words to Puff The Magic Dragon . But the fact is , there are lots of things we take for granted that people understand - and not everyone does . Let me tell you a story about one such example from the world of real estate .
Years ago I was working with a sweet young couple , only married a few years , no kids … and they were buying their first home . It was a long process with lots of twists and turns , but after what seemed like over a year , we found a great little house . We got through inspections and appraisal , the loan process was moving along nicely …. in fact , we got to the week before closing and all was well .
They were scheduled to close on a Tuesday . And the previous Friday morning , we heard back that their loan had been approved and they were ‘ clear to close .’ This was great news going into the weekend , knowing in just a few days it would be official .
And then Monday morning their lender called me and said “ did you know that Rhonda ( not her real name ) quit her job on Friday ?” I was floored . I had no idea ! He and I began making frantic calls to determine exactly what had happened . As it turns out , Rhonda had actually been offered a new job - a better one , in fact - and she had been waiting until we heard that their loan was approved before quitting her current job . As soon as the word came back ‘ approved ’ she walked in and gave her 2 week notice .
Which wasn ’ t a great idea , because the lender called her employer Monday morning to verify that she was still employed . And guess what ? Found out that she had quit Friday afternoon ! See … this type of thing is a problem for a lender . Mortgage companies do not like to lend money to people who are unemployed - or even worse , very recently unemployed !
We began a mad scramble to get verification of her new job from the new employer , documentation regarding what she would earn and that her employment would be for at least one year … and in the end , we closed on time . But not without a last minute , unnecessary hustle and headache .
Here ’ s the thing - don ’ t quit your job a few days before you close on a house . And don ’ t buy furniture , or a new car , or take on any new debt . In fact , don ’ t make any changes to your debt or your income ( unless its to earn more ) in the final days leading up to your closing . Whatever it is , it can wait until you ’ ve signed the loan paperwork and gotten your keys .
Questions , comments , or have an idea for a future article ? Email me at dan @ DanVollmer . com .