How soon before applying for morgage should i stop making big purchases

Buying a car now, before closing on a property, depends on two things 1) If you need transportation, then by all means don't hold back if you cannot function without a ride, 2) If this is just something you Want, but can do without, then wait. The decision is based on the old phrase Want vs. Need. Do talk with a mortgage professional first, as perhaps making a new car purchase will not affect your affordability ratios (DTI).

You really need to talk with a loan officer about your overall qualifying capability. If you are looking to buy well within your means, buying a new car and including that monthly payment in your debt ratios may not affect you. But in most cases, a new monthly debt like a car payment can have a dramatic effect on how much of a loan you can then qualify to receive. IF you are only thinking of the Credit Ding for having a new inquiry on your credit report, you are probably looking at a 3-5 pt effect on your credit score. If you credit score is already near 620, you would not want to incur this extra ding. Hope this helps. Scott Kinne - First Heritgage Mortgage - NMLS# 182351Lend in VA, MD, DC, & WV. 703-293-6146

Hi Preston,Best thing to do is work with your loan officer right now. 4 Months is a very short time to work on any possible debt ratio or credit issues so the time for you toget a baseline on your qualifications is now. I am confident that my colleagues will agree, if we had the privilege of working with every borrower 4-6 months prior to their needs we would always be in a better position when it comes time to close.

It depends on your income and how much home your looking to purchase.. Lenders look at the overall debt to income ratios to determine one's eligibility.. if the DTI is too high, you need to put more $$ down payment or choose a lower priced home.. by adding debt before purchasing a home, then it could affect how much home you can buy.. if you are qualified for much higher priced home than you are looking to purchase, then you would probably be ok, but without knowing what your actual income and debts are, it's hard to say for sure... I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com

If you absolutely need a vehicle, I suggest purchasing one in cash if at all possible. A strong aged credit history is far better than having a high credit score with a lot of new debt. I had a client whom was denied funding because around the same time that they were applying for their mortgage, they had also purchased a new car and acquired a stack of new credit cards. This client has a 720+ credit score at the time.

I would suggest at least 90-days out... With that said, all applicants are different. For one client, new purchases can cause trouble, but for the next person it isn't an issue. Better yet, I suggest talking to a local mortgage professional about 100 days out. This way any issues can be identified and deal with in a timely fashion. www.Minneapolis-Mortgage.net

Anything that will add to your monthly debt that reports to your credit will reduce the amount you qualify for, so the answer is yes. Also a large purchase or any purchase that has a high proportion owed to max limit can lower your scores as well.

Hi Preston, You definitely need to have an experienced lender look over your credit and mortgage qualifications before making this decision. In a case like this I would want to not only inform you of the exact ramifications of buying a car on your finances, but also on your credit score. I can input the information into credit analysis software and determine what will happen to your credit score if you open an auto loan account. I am located just over the DC line in Silver Spring so we could do this in person if that interests you. Whether it is with me or someone else, however, I strongly suggest that you do not buy a car without pre-qualifying for a mortgage first and then analyzing how the purchase will affect your qualifications. I'm happy to help with the financing or just give you advice. If you need more information, or a competing rate quote call, email or use my live support button to discuss or get in touch with me. Web Address for live chat or quote is: http://www.loansfromrob.com/quote/ Email is robertlh66@verizon.net and direct phone is 240-752-7549. Good Luck -- Rob Hanson