REAL ESTATE Q: We are in the process of buying a home and going through loan qualification. Áre there any things you can suggest to help make this process successful? Dick Phelps A: The first and most important advice I can give you is follow the lender's advice and instructions to the letter! They know the process and will give you the best advice. Having walked with many buyers through this process, I can think of several things to do or not to do during this process. Do continue to make all payments and do not increase credit card balances and/or loan balances. Do document and be ready to explain any large or unusual deposits or withdrawals and do not apply for a new credit line nor increase balances on existing accounts. Do keep pay stubs, bank statements, tax forms for lender documentation and do not ignore late payment and/or collection notices. Do ask questions if something is unclear throughout this process and do not purchase anything that is "same as cash" since it will show as new debt. Do keep your lender informed as to any changes such as employment, income, assets, credit history and do not buy vehicles, furniture, or appliances, for example, on credit during this process. Do document that the earnest check has cleared the account and do not lend money if it is needed for closing because you may not get it back in time. Do lock-in your interest rate but not so early as to not close within the lock-in period and do not store your money at home but rather deposit it in a bank account so it can be documented as savings throughout the loan process. Do not overdraw your checking account and do not quit or change jobs during the loan process. The most important "DO" is use a home-town lender and follow their advice to the letter in a timely fashion. Century For Questions Contact: Dick Phelps 218-766-5263 rphelps@century21dickinson.com DICKINSON REALTORS REAL ESTATE Q: We are in the process of buying a home and going through loan qualification. Áre there any things you can suggest to help make this process successful? Dick Phelps A: The first and most important advice I can give you is follow the lender's advice and instructions to the letter! They know the process and will give you the best advice. Having walked with many buyers through this process, I can think of several things to do or not to do during this process. Do continue to make all payments and do not increase credit card balances and/or loan balances. Do document and be ready to explain any large or unusual deposits or withdrawals and do not apply for a new credit line nor increase balances on existing accounts. Do keep pay stubs, bank statements, tax forms for lender documentation and do not ignore late payment and/or collection notices. Do ask questions if something is unclear throughout this process and do not purchase anything that is "same as cash" since it will show as new debt. Do keep your lender informed as to any changes such as employment, income, assets, credit history and do not buy vehicles, furniture, or appliances, for example, on credit during this process. Do document that the earnest check has cleared the account and do not lend money if it is needed for closing because you may not get it back in time. Do lock-in your interest rate but not so early as to not close within the lock-in period and do not store your money at home but rather deposit it in a bank account so it can be documented as savings throughout the loan process. Do not overdraw your checking account and do not quit or change jobs during the loan process. The most important "DO" is use a home-town lender and follow their advice to the letter in a timely fashion. Century For Questions Contact: Dick Phelps 218-766-5263 rphelps@century21dickinson.com DICKINSON REALTORS