Everyone just about agrees that the banking system is not fast on its feet. Things take time. It takes time to get the results back for a mortgage loan. Of course, it takes some time to gather the data necessary to apply for a loan in the first place. Who is the best lender anyway? It’s a long process from the inception of the idea to the approval, and major changes can make it even a little more complicated.
This Chad Baker Review looks at why major changes will actually hurt the chances of success. It shows volatility from the banks, and could be the death swing for receiving approval. What constitutes a major change?
A new job: The income reported from a job is the main piece holding a loan together. If this is switched, major changes should be expected. Firstly, it shows a willingness to switch jobs. It also puts into question the reasoning: was the person fired? Are they going to do this again? Even if the income is increased, it could look a little bad. Before making a loan commitment, have a personal commitment (or expectation) to stay at a job for a few years.
A new business: looking to start a new home business? This is going to change everything, and it is exactly what a lender is not looking for in assessing the long-term expectations of a loan. Even the best ideas fail. Ultimately, the vast majority of businesses fail- and fail hard.
Unexpected Income: Earn a big payday from the sale of an investment? Looking to spend $5,000 on a new home upgrade? Major movement to or from a checking account could be problematic. It suggests volatile income. Even if it is negative, and hurts the chances of success, it should be detailed. Why is this income coming in (or going out) and does the reason make sense?
Changes, on their own terms, are not bad. Undocumented changes are. If there is an alteration to anything involving the san diego purchase loans or mortgage details, they should be reported. It’s better to be transparent than to be rejected on unconfirmed changes.