Let’s help you avoid the single biggest mistake when under contract for a new home.
Questions
Are you at the point that you are making an offer or recently made an offer on a house and are now under contract? Do you want to know the one of the fastest ways to jeopardize that deal?
Are You Worried About Mistakes When Under Contract?
Simple: the biggest mistake you can make when under contract is to buy yourself any sort of big ticket item or take on additional debt. How big? Think a new or pricy car, a house worth of furniture from a local retailer, expensive jewelry, taking out new credit cards, running up balances on consumer credit cards or putting deposits on lavish vacations.
You Should Know Better:
This is not a tale of hindsight is 20/20. You should know better because you should have been advised on this topic. It is my sincere hope that if you have partnered with the right lender partner and Realtor, they both offered insight and advice on the process. All the way from the steps/stages of the loan process through to the best practices of what to expect. Repeat after me “I will not make big purchases or open new credit while under contract”
So yes – even if a flashy red Porsche, offered as the deal or steal of a lifetime, has your name on it – it is going to have to wait. If you can afford the mortgage payment, utilities, building/re-building your savings account, have an emergency fund and find yourself with money leftover – then reconsider the car. Even then – make sure you are comfortable with all new costs before taking on even more debt.
Always remember the old adage: “there is a time and a place for things.” While under contract – that is the time and place for a new home. The other shiny things will just have to wait for their own time and place.
Looking to Buy and Need Help Avoiding a Mistake When Under Contract?
The best way to be on top of the home purchase process is to work alongside knowledgeable professionals. If you are currently under contract, please take this as a cautionary tale of how to proceed. My sincere wish is that hopefully it is not too late. Are you considering buying and working with a real estate agent or a lender that didn’t mentioned these things? Contact me for a qualified lender who’ll guide you through the entire process, protecting your best interests throughout the transaction.