Congratulations! You have finally been approved for your mortgage! What do you do next? While this may seem straightforward, you should still be wary about your actions after you get your mortgage approved. To help you out, we thought it would be useful to put together a brief guide on this subject. If this is something that you’re interested in, read on as we break down what you should and shouldn’t do after your mortgage gets approved.

What Happens After Your Mortgage is Approved?

Once your mortgage is approved, there are a few things that will happen in a relatively quick succession. You will likely receive a closing disclosure, which is a document that outlines the final terms of your mortgage. Review this document carefully, as it will contain important information about your mortgage, such as the interest rate and the closing costs. 

After you’ve reviewed the closing disclosure, you will need to sign it and return it to your lender. Once this is done, the lender will order the appraisal and title search. The appraisal is a document that estimates the value of the property, and the title search is a document that ensures the property is free and clear of any liens. 

Once these documents are finalized, your lender will give you a date for the closing. The closing is the final step in the mortgage process, where you will meet with the lender, the title company, and the real estate agent to sign all the paperwork and officially receive your mortgage.

What Should You Do After Your Mortgage is Approved?

Congratulations! Your mortgage has been approved and you’re ready to move into your new home. But what should you do next? Here is a checklist of things to do after your mortgage is approved:

1. Review your mortgage documents and make sure you understand the terms.

2. Contact your insurance company and home warranty provider to schedule coverage.

3. Set up your closing date and time.

4. Notify your employer and/or school of your new address.

5. Schedule a moving truck and pack your belongings.

6. Close on your new home and move in.

What You Shouldn’t Do After Your Mortgage is Approved?

There are a few things you should avoid doing after your mortgage is approved. Here are four of them:

Don’t Change Jobs

Moving or changing jobs can disrupt your mortgage approval process and could lead to a higher interest rate. Wait until after your closing to make any big changes.

Don’t Spend Money Recklessly

It may be tempting to go on a shopping spree after getting approved for a mortgage, but try to avoid unnecessary spending. Keep in mind that you’ll need to make monthly mortgage payments, so be smart with your money.

Don’t Withdraw a Large Sum of Money from Your Account

When you’re approved for a mortgage, the lender will do a “hard pull” on your credit report. This will lower your credit score, so avoid any unnecessary hard pulls.

Conclusion

As you can see, there are things that you should and shouldn’t do after your mortgage is approved. Make sure to think things through before doing anything after your mortgage is approved to avoid any issues. Feel free to refer back to this article if you need more guidance on this.

Mills Financial Group houses the best mortgage brokers in Canada. Our goal is to help our clients manage their loans and possibly guide them in refinancing their mortgages when the time is right. We also offer 48-hour equity loans for clients needing instant cash right away. Learn to finance your home today by speaking to our esteemed mortgage brokers.