There are few purchases more significant than that of a new home. Though buying a home is exciting, it’s important you understand the do’s and don’ts of the process. Please continue reading and reach out to our experienced New York City real estate attorneys to learn more about what not to do before purchasing a home in New York State.
Things to Avoid When Purchasing a Home in New York State
Just some of the most important things to avoid before you purchase your new home are as follows:
- Maxing out credit card debt. Maxing out on credit card debt should be avoided at all costs when purchasing a home. To start, if you max out your credit card, you will most likely have to pay a higher loan. Additionally, it can offset your income, and, as a result, you may qualify for less mortgage financing.
- Quitting your job. One key aspect of receiving a mortgage loan is demonstrating that you can hold a job. If you recently quit your job or frequently change careers, lenders may consider you inconsistent and therefore less likely to be approved for a loan.
- Failing to get preapproved. Everyone looking to purchase a new home must get a mortgage preapproval, for various reasons. To start, if you find a home you like, it may get sold in the time you’re waiting to get preapproved. Additionally, most homeowners won’t even deal with potential buyers who aren’t preapproved, as there’s a chance the buyer may not have the financial means to purchase and live in the home.
- Financing a large expense before purchasing your home. One of the biggest mistakes a person can make before purchasing a home is financing other expensive things, such as cars or furniture. Doing so raises your debt-to-income ratio, which can make a mortgage lender less likely to work with you.
If you have any questions about the home buying process or you are considering purchasing a new home, simply give us a call today. We are here to help you in any way we can.
Contact Our New York City Firm
Zimmet Law Group, P.C. is an experienced team of attorneys guiding clients through matters of estate planning and administration, divorce and family law, real estate, commercial litigation, business law, bankruptcy, and landlord-tenant law. If you require the services of an effective New York City attorney, contact our firm today to schedule a consultation.
