How you are doing, Walter Montero here!
I’m here to talk to you today, again about commandment #2, Remember the 10 do-nots of buying a home and for that matter even refinancing a home, that’s pretty important to know.
Anyway, the 2nd commandment is thou shall not buy a car, truck, or a van, or else you might be living in it.
The reason we say that is because one of two things can happen. If you take on a van or a car or a truck nine times out of 10, you’re taking on a payment. So remember you were qualified for the mortgage based on your debt service ratios. So that means only a certain percentage of your income can go towards all of your debts. If you all of a sudden increase that payment, you may endanger your mortgage commitment and you no longer qualify.
Secondly, if you’re purchasing and you say, Hey, I’m not taking on any payments. We don’t want you to use any of that money that you’re gonna be using towards the purchase of your home. Plus your closing costs in the purchase of something like a truck or a car.
So if you don’t plan on living, if you plan on living in the house and not in the car, don’t buy anything until after you’ve taken possession of the property. If you want to do it afterward, be frugal, uh, because you know, you don’t wanna put yourself in a situation where you can’t afford a payment, but more importantly, is before closing during that pending period, don’t take on any more debt. Very, very dangerous can put you in a pickle and you won’t be able to close that’s commandment #2.