Listen Up! Any major purchases made before closing will increase your debt-to-income ratio.
Major purchases include a new car, furniture, motorcycle etc. if it is made after a loan application but before getting to the closing table it may affect your debt-to-income ratio and cash-to-close reserves! Even if the purchase was “same as cash” or 0% financing, any changes to your debt-to-income ratio during the loan process can possibly disqualify you from the loan you initially qualified for.
In some cases, unavoidable large purchases may come up but in these cases, discuss the purchase with your Mortgage Loan Originator to be certain that you’ll still be able to close on your home loan.
If you want to work with someone who ensure you are educated throughout the whole process work with me as your generational wealth-building realtor.
