No Major Purchase of Any Kind

Avoid any major purchases that would change your credit to debt ratio. Sometimes something as innocent as a major purchase can keep you from getting that home loan even after you have already pre-qualified. As a rule just avoid any major purchases of any kind until your closing date.

Don't Apply for any new credit cards or run up your existing card debt

Do not use or apply for any new credit cards this can sometimes cause havoc in buying a new home and should be monitored very carefully before your closing date on your new home.

Don’t Move Money Around

When a lender reviews your loan package for approval, one of the things they are concerned about is the source of funds for your down payment and closing costs. Most likely, you will be asked to provide statements for the last two or three months on any of your liquid assets. This includes checking accounts, savings accounts, money market funds, certificates of deposit, stock statements, mutual funds, and even your company 401K and retirement accounts.

If you have been moving money between accounts during that time, there may be large deposits and withdrawals in some of them. The mortgage underwriter (the person who approves your loan) will most likely require a complete paper trail of all the withdrawals and deposits. You may be required to produce cancelled checks, deposit receipts, and other seemingly unimportant data, which could get quite time consuming and annoying but it is important to have all this in order and accurate to the best of your ability.

It is a requirement on almost all loans to completely document the source of all funds. Moving your money around, even if you are consolidating your funds to make it "easier to handle," could make it more difficult for the lender to properly document. So leave your money where it is until you talk to your loan officer. Also it is a good idea not to change banks during this period as well.

Why you should not change your jobs?

For most people, changing employers will not really affect your ability to qualify for a mortgage loan, especially if you are going to be earning more money.  For some homebuyers, however, the effects of changing jobs can be disastrous to your loan application. It is best to stay with your current job just until your home loan closes just to avoid any unforeseen problems.