4 Reasons Why Your Pre-Approval May Fall Through

# 1: YOU CHANGED JOBS

The most common reason a home loan gets denied is due to a substantial change in employment. Many mortgage products require the borrower to have at least two years of employment history. If there are gaps, you'll be asked to explain why you were unemployed for a time — which is then subject to the mortgage underwriter's approval. This doesn't mean you must stay in a job you hate just to buy a home. It's perfectly fine to change in employment, for example, if the new job is in the same or similar field. Let's say you're a software engineer and moved from one digital insurance company to another: as long as there is no drastic change in income, most mortgage underwriters will still give it a thumbs up. But if you go from being a software developer to a nurse, that might cause the lender to be more discerning and could deny the loan.

# 2: YOUR CREDIT GOT PINGED — AND NOT IN A GOOD WAY

While this is not true that a perfect credit score is needed to buy a home, there are benefits to having a good credit score. As a home buyer, you need to know your credit score when applying for a loan, and you should understand how credit scores change and impact which loan product you are offered. 

A common reason a home loan might be denied is when a negative item on your credit sinks your score below a required benchmark. That's important because a lower credit score can affect the interest rate you're offered, which in turn can affect how affordable your monthly mortgage payment will be. 

# 3: YOU BOUGHT A BIG TICKET ITEM

Another reason you might get denied is if you took on additional debt — like buying a car or taking an expensive vacation after your offer on a home was accepted. A big purchase can have a substantial impact on a credit rating. 

# 4: THERE ARE ISSUES WITH THE HOME APPRAISAL

It varies from lender to lender, but some will issue a pre-approval subject to a positive home appraisal.  That's because many factors can lead to a price renegotiation. An appraiser could ding the property if it's too close to a noisy freeway or alongside an abandoned building.

The bottom line is all of these issues can almost always be avoided or remedied. Talk to me if you have any specific scenarios you need help with!

Cleveland's Millionaire's Row

Euclid Avenue in Cleveland was once home to the most spectacular collection of mansions in America. Hard to believe now, but this street was called "the Showplace of America" and compared to the Champs-Élysées in Paris.

From the 1860s to the 1930s, Euclid Avenue's Millionaires' Row featured more than 40 incredible mansions owned by some of the richest people in the country. Today, only four of these grand homes remain.

The story of Millionaires' Row is about more than just fancy houses. It's about Cleveland's golden age, the rise and fall of wealth, and how quickly things can change in a city.

• Euclid Avenue was once called "the most beautiful street in America" by travel guides.
• Some mansions required up to 100 servants to maintain.
• By 1937, not a single mansion was still used as a private home.

The remaining mansions on Millionaires’ Row (not counting the Morris Bradley Carriage House or mansions with heavily modified exterior structures) are:

• Mather Mansion - 2605 Euclid Avenue
• Stager-Beckwith Mansion - 3813 Euclid Avenue
• Drury Mansion - 8615 Euclid Avenue
• H.W. White Mansion - 8937 Euclid Avenue

These homes are truly a wonder to behold! If any come on the market, I would be happy to personally show all of my clients with a private tour!

Local Weekend Events:

The Decemberists at TempleLive at the Cleveland Masonic

The indie rock band performs Friday at 8 p.m. at TempleLive at the Cleveland Masonic. The band's ninth studio album, As It Ever Was, So It Will Be Again, again draws inspiration from the Smiths.

Gin Blossoms at MGM Northfield Park

The '90s group performs Friday at 8 p.m. at MGM Northfield Park's Center Stage. Penned by the late Doug Hopkins, "Hey Jealousy," the big hit from their 1992 album, New Miserable Experience, established them as jangle pop practitioners

WWE: Friday Night SmackDown at Rocket Arena

Wrestler, boxer and actor Logan Paul returns to Cleveland as this popular wrestling event comes to Rocket Arena. Southern rap star Jelly Roll is also slated to perform.

Beethoven's Pastoral at Blossom

Guest conductor Jonathan Heyward leads the Cleveland Orchestra as it takes on Beethoven's piece that includes a country dance and a "musical rainstorm," as it's put in a press release. 

Cash Money Millionaires 30th Anniversary with the LOX & State Property at Rocket Arena

The hip-hop label celebrates its 30th anniversary with this concert that comes to Rocket Arena Saturday at 8 p.m. The Cash Money collective still features original members original members Birdman, Juvenile, Mannie Fresh, B.G. and Turk.