DO NOT BUY THE COUCH.

Getting pre-approved for a mortgage feels like you've crossed the finish line. Then you find a house, your offer gets accepted, the appraisal is completed, and suddenly closing day is right around the corner.

That's usually when buyers start making plans.

They shop for furniture. They look at appliances. They start moving money around. Maybe they decide it's finally time to buy a new car.

And that's exactly when I want borrowers to become incredibly boring.

A mortgage approval is based on a specific financial picture: your income, employment, assets, credit, debts and the property you're purchasing. Significant changes to that picture before closing can require additional documentation, change qualification or, in some circumstances, jeopardize the loan entirely.

Here are some of the biggest mistakes to avoid between pre-approval and closing.

1. Don't Finance a New Car

This is probably the classic example.

Suppose you qualified for your mortgage with a particular debt-to-income ratio. Then, two weeks before closing, you finance a new vehicle with a $900 monthly payment.

That new obligation may need to be included in your mortgage qualification.

Even if your credit score remains strong, the new monthly debt can change the numbers.

If you absolutely need to replace a vehicle while you're buying a home, talk to your loan officer before signing anything.

2. Don't Open a Furniture Credit Card

Furniture stores love promotional financing.

“Zero interest.”

“No payments.”

“Save 15% when you open an account today.”

Great.

Do it after closing.

Opening a new account can change your credit profile and potentially create a new obligation that needs to be evaluated.

The couch will still exist next week.

3. Don't Run Up Existing Credit Cards

You don't necessarily need to open a new account to create a problem.

Large purchases on existing cards can increase your balances and potentially increase minimum monthly payments.

If your qualification was already tight, that can matter.

Keep spending patterns relatively normal during escrow and ask before making unusually large credit purchases.

4. Don't Quit Your Job

This sounds painfully obvious.

It still happens.

A borrower signs loan documents on Thursday and tells their employer Friday morning:

“I bought the house! I'm quitting!”

Except the transaction hasn't funded yet.

Mortgage lenders may verify employment during the lending process, including near closing. A significant employment change can require the loan to be reevaluated.

Signing documents is not the same thing as owning the house.

Wait until the transaction is actually complete before making major employment decisions—and ideally discuss planned job changes with your loan officer well in advance.

5. Don't Change Jobs Without Talking to Your Lender

Changing jobs isn't automatically fatal to a mortgage.

People change jobs all the time.

The issue is that the new employment may need to be documented and reviewed. A move from salary to commission, W-2 employment to self-employment, or another substantial change in compensation structure can be especially important.

If you're considering a job change during the mortgage process, tell your loan officer first.

There may be a perfectly workable solution.

Surprises are the problem.

6. Don't Move Huge Amounts of Money Around Randomly

Mortgage underwriting often requires borrowers to document assets used for down payment, closing costs and reserves.

If $75,000 suddenly appears in an account, underwriting may need to understand where it came from.

If money starts bouncing between four different accounts, we may create an unnecessary documentation scavenger hunt.

Moving your own money isn't inherently wrong.

But before making large transfers during the mortgage process, ask whether there's a cleaner way to handle them.

7. Don't Make Large Undocumented Deposits

The same principle applies to deposits.

If a large amount of money suddenly enters an account being used for the transaction, additional documentation may be required depending on the loan and circumstances.

Maybe the source is completely legitimate.

Great.

We still may need to document it.

Tell your loan team before introducing unusual financial activity into accounts being reviewed for the mortgage.

8. Don't Co-Sign for Someone Else

Your brother needs a car.

Your daughter needs an apartment.

Your friend needs help financing something.

You want to be helpful.

Please wait.

Co-signing can create a new obligation associated with you, and that can potentially affect mortgage qualification.

You can be generous after closing.

During escrow, be boring.

9. Don't Assume You're Done Because You're “Clear to Close”

Even a clear-to-close milestone doesn't mean borrowers should start changing their financial lives.

The transaction still needs to complete.

Continue making normal payments. Maintain employment. Don't create new debt. Don't spend money needed for closing.

Celebrate when you have the keys.

10. Don't Hide Changes From Your Loan Officer

This is the most important one.

Things happen.

Cars break.

Employers make changes.

Unexpected money arrives.

A borrower gets an incredible new job opportunity.

The worst response is thinking:

“I probably shouldn't tell the lender.”

Tell us.

Many situations can be handled if we know about them early enough.

A surprise discovered at the end of the transaction is much harder to solve.

What Should You Do Before Closing?

Keep your financial life stable.

Continue paying bills on time. Keep sufficient funds available for closing. Respond quickly when your loan team requests documentation. Avoid unnecessary new credit or debt, and communicate before making major financial or employment changes.

Basically:

Be boring for a few weeks.

Mortgage underwriting loves boring.

Frequently Asked Questions

Can I buy furniture before closing?

You can physically purchase furniture, but using credit or significantly reducing funds needed for the transaction can potentially affect qualification. The safest approach is to discuss major purchases with your loan officer before making them.

Can I use my credit card before closing?

Normal usage isn't necessarily prohibited, but large balance increases or new monthly obligations can matter. Avoid unusual credit activity without discussing it first.

Can I change jobs before closing?

Potentially, but the change may require additional documentation and underwriting review. The compensation structure and timing matter.

Can I deposit money into my bank account before closing?

Yes, but certain large or unusual deposits may need to be documented depending on the loan program and circumstances.

Can a mortgage be denied after pre-approval?

Yes. A pre-approval isn't an unconditional guarantee of final financing. The borrower, property and documentation still need to satisfy applicable requirements through closing.

The Bottom Line

Once you're under contract, you don't need to become afraid of spending $14 at Chipotle.

You just need to avoid making major financial changes without talking to your mortgage team.

Don't finance the Tesla.

Don't open the furniture card.

Don't drain the closing account.

Don't randomly move $100,000 around.

Don't quit your job.

And don't assume the mortgage is finished until the transaction actually closes.

For a few weeks:

Be boring.

Your new couch can wait.