Buying a Home Step 11: Keep your spending down. 5 things NOT to buy when you’re under contract
/When you're in escrow on a home, it's important to be mindful of your finances and avoid making any major purchases that could jeopardize your ability to close on the home. Here are a few things you should avoid purchasing during this time:
A new car: Taking on a new car loan or lease can significantly increase your debt-to-income ratio, which could impact your ability to secure a mortgage loan.
Large furniture or appliances: While you may be excited to start decorating your new home, it's best to hold off on purchasing any large furniture or appliances until after you've closed on the home.
Appliance: Again, wait until you've closed on the property for any large purchases (are you noticing a trend here?)
Expensive vacations: Vacations can be costly and may impact your ability to make your mortgage payments on time. It's best to hold off on any major travel plans until after you've settled into your new home.
Opening new credit cards: Applying for and opening new credit cards can also increase your debt-to-income ratio, which could hurt your chances of securing a mortgage loan.
Overall, it's best to be conservative with your spending during the escrow process and focus on securing your new home.
Our team adds a fun item to your closing timeline called Operation: Checkout. We know you're so excited to start making your new home, well, YOURS! So build those shopping carts and wishlists, and WAIT until we give you the green light to check out! Trust us, it's worth it!
Are you ready to begin the home-buying process? Whether your timeline is 3 weeks, 3 months, or 3 years, our team is here to help you every step of the way! Get started now by filling out our Ready To Buy Survey, and our team will reach out to schedule a call to discuss how we can support you on this path.
Terra Wright Knudsen- Bainbridge Island Realtor
