Don't Trip Yourself up While Buying your Home

Some new homebuyers make the mistake of rushing out to buy things to fill their home soon after the seller says "yes" and the loan is approved. Keep in mind that until closing, your lender is watching you very closely. Here are some actions to avoid before closing to assure the transaction goes well.

Don't throw your money around. You may be itching to turn your new kitchen into a home magazine cover, or celebrate your new dream home, but stay away from major purchases like furniture, jewelry, appliances, or vacations until your loan closes. Financing new furniture with a store card or a bank credit card could put your credit worthiness at risk when you need it the most. Because lenders are reviewing your financial accounts, a large cash purchase is also a mistake.

Don't look for a new job. Your recent job history should show stability. Getting a new career before you start the application process for a loan may not compromise your approval at all. However, switching jobs during the approval process could influence your approval.

Don't switch your accounts to a new bank or move around your money. Your lender will instruct the submission of recent bank statements on your accounts: savings, checking, money market, and other assets. To eliminate potential fraud, most lenders want a thorough paper trail to determine the source of all incoming funds. Even for innocent reasons, transferring funds or changing banks might make it harder for your lending institution to verify your account history.

Don't give money directly to your seller (usually in cases of "for sale by owner") for earnest money. Until the sale is complete, any good faith deposit remains yours. Although your FSBO seller might not understand this, the good faith money must be applied to the buyer's closing expenses. We recommend that you put the money into a trust account, or get a neutral party, like an attorney, to hold it until closing. The final disposition of earnest funds, if your home purchase fails, should be specified in the contract with your seller.

EMB Lenders can answer questions about these "Don'ts" and many others. Give us a call: 888-357-1440 or email us at

Looking to Buy?

Are you looking to buy a house? Let us help you. Just fill out as much of the information below that you want and we'll get right back to you, with no obligation to you. We guarantee your privacy.

Your Information
Some Details
By checking the box, you agree that EMB Lenders may call/text you about your inquiry, which may involve use of automated means and prerecorded/artificial voices.. Message/data rates may apply.

EMB Lenders

12401 Orange Dr Ste 216
Davie, FL 33330