Ready to Take the Next Step?
Talk to a local loan expert who will walk you through your options with honesty and clarity — no pressure, no confusion.
Applying for a conventional loan is one of the biggest financial moves you’ll make — and unfortunately, some of the most common mistakes buyers make are also the most preventable. A misstep at the wrong time can delay your closing, reduce your loan amount, or in some cases cost you the home entirely.
Here are the five mistakes we see most often, and exactly what to do instead.
This is the single most common mistake buyers make after getting pre-approved, and it can completely derail an approval that was already in hand.
When you apply for a mortgage, your lender reviews your credit, income, and debt levels at that point in time. But your financial picture is reviewed again right before closing — and if something has changed significantly, your loan could be denied or restructured.
Large purchases on credit cards, financing a new car, opening a new credit account, or even co-signing on someone else’s loan can all increase your debt-to-income ratio or trigger a credit inquiry that lowers your score — both of which can affect your approval.
What to do instead: Once you’re pre-approved, hold off on any major financial moves until after closing. No new credit, no large purchases on existing cards, no financing of any kind. It can all wait a few weeks.
Lenders want to see stable, consistent income — and a job change during the mortgage process raises a red flag even if the new job pays more.
If you switch from salaried to self-employed income, move to a commission-based role, or change industries entirely, your lender may need to pause and re-evaluate your application from the beginning. In some cases, a job change mid-process can push your closing date back significantly or require you to wait until you have a longer income history in the new role.
What to do instead: If at all possible, hold off on any job changes until after closing. If a change is unavoidable, let your loan officer know immediately — the sooner they know, the better they can help you navigate it.
Too many buyers spend weeks — sometimes months — looking at homes before ever talking to a lender. Then they find the perfect house, fall in love with it, and scramble to get financing in place only to discover they can’t qualify for the price point they’ve been shopping, or that the process takes longer than expected.
In competitive markets like South Carolina, sellers take pre-approved buyers far more seriously. An offer without a pre-approval letter is a much weaker offer than one that comes with lender confirmation of your buying power.
What to do instead: Get pre-approved before you start shopping — not as a formality, but as a genuine first step. It tells you exactly what you can afford, strengthens every offer you make, and removes the most stressful uncertainty from the process.
Interest rate is important — but it’s not the only number that matters. Two loans with the same rate can have very different total costs depending on origination fees, discount points, closing costs, and PMI rates.
A loan with a slightly higher interest rate and lower fees may actually cost you less over the time you plan to own the home. And a rate that’s been bought down with points may take years to break even — longer than you plan to stay in the house.
What to do instead: When comparing loan offers, look at the Annual Percentage Rate (APR), not just the interest rate. The APR factors in fees and gives you a more accurate picture of the true cost of the loan. Better yet, ask your loan officer to show you a side-by-side comparison of total costs over your expected ownership timeline.
Many buyers apply for a mortgage without ever looking at their credit report first — and then are surprised to find errors, outdated negative items, or accounts they didn’t know about that are dragging their score down.
Your credit score directly affects your interest rate on a conventional loan. Even a 20-point difference in score can mean a meaningfully different rate — and over a 30-year loan, that adds up to real money.
What to do instead: Pull your credit report from all three bureaus (Equifax, Experian, and TransUnion) at least 60-90 days before you plan to apply. Review it carefully for errors, dispute anything inaccurate, and give yourself time to address any issues before a lender runs your credit officially. You can get a free copy of your report at AnnualCreditReport.com.
None of these mistakes are complicated — but they’re all common, and every one of them is avoidable with a little preparation and the right guidance. Working with a local loan officer who takes the time to walk you through the process before you apply is the best way to make sure none of these catch you off guard.
For a full breakdown of what to expect with a conventional loan, visit our Conventional Loans page.
Related Articles:
Phone: 864‑205-5210
Address: Greenville, SC
Office Hours
Monday–Friday: 9:00 AM – 5:00 PM
