Karen had the best qoute of all "People think it's easy money until they actually do it. LOL" People walk in the business thinking they will get to make tons of money, only to find out that the money is spilt up many times when (or if) they have a closing. Even if the agents don't see it right away, they will at the end of the year when they are hit with a "self employment" tax on top of their regular income tax.
After having too many deals fall apart, I had to put together this list to show to clients. I have had a deal fall apart or almost fall apart for all of these reasons.•1. Pay all of your bills on time. A late payment can result in a lower credit rating, lowering your chances of being approved for a loan.•2. Don't take out any loans or make big purchases. A big purchase (car loan, new furniture, vacation, etc) can change your income/debt ratio. An increase in debt can reduce the amount of money left over for your mortgage payment, reducing the amount of a loan you will qualify for.•3. Don't quit your job. It is important to keep the job you had when you applied for the loan. The day of closing they will check to see if you still have your job. Without a job the bank will not lend you any money.•4. Get all of the documents in to your mortgage broker as soon as possible. Delaying the paperwork can cause problems in getting the loan approved on time.•5. Shop for homeowners insurance. Once you have a home under contract, it is good to start shopping around for homeowners insurance. Homeowners insurance is required to be paid in full prior to closing.•6. Keep in mind closing dates are always subject to change. Even though we all like the plan ahead and know our closing date well ahead of time, more often then not something always comes up delaying the closing date.A lot of those were when the market was good, I'm sure there are even more reasons a deal can fall apart at the last minute now.