A lot can change between writing an offer and getting the keys.

Small details in the purchase agreement can impact the lender’s approval — sometimes enough to delay or stop the deal.

Here are the most common issues buyers don’t see coming 👇

1️⃣ Cash back at closing

If the contract includes cash back, lenders often reduce the mortgage by the same amount.

✔️ affects loan amount

✔️ changes qualification

✔️ may require a contract amendment

Lenders must confirm all funds are transparent and legitimate.

2️⃣ Furniture included in the offer

Items like furniture or appliances can affect how the lender views the value.

✔️ non-real-estate items can impact pricing

✔️ may require $0 value in writing

✔️ sometimes must be separated into another agreement

Keep the purchase price tied to the actual property only.

3️⃣ Repairs or credits after inspection

If inspections result in rebates or adjustments, lenders review them carefully.

✔️ repair credits may reduce mortgage amount

✔️ large changes may require re-approval

✔️ lender needs to verify the final price

Always notify your broker before signing amendments.

4️⃣ “Handyman special” properties

Homes needing significant work trigger extra scrutiny.

✔️ lenders may require full appraisal

✔️ condition impacts loan approval

✔️ major issues may limit lender options

Lenders need to confirm the property is safe, livable, and marketable.

5️⃣ Properties with past “stigmas”

Anything suggesting illegal or undesirable history can affect value.

✔️ drug activity

✔️ crime scenes

✔️ environmental issues

Even if cleaned up, lenders may still decline due to market risk.

6️⃣ Very small square footage

Properties under certain size thresholds limit lender availability.

✔️ under 700 sq ft can be challenging

✔️ fewer lenders accept very small homes

✔️ value must support the mortgage

Size affects marketability — and lender comfort.

7️⃣ Appraisal red flags

Appraisers can identify issues that affect approval.

✔️ signs of water damage

✔️ structural concerns

✔️ poor maintenance

Lenders need reassurance the home is worth the financing amount.

8️⃣ Job changes during the process

Changing jobs mid-approval can stop everything.

✔️ income may need re-verification

✔️ probation periods cause delays

✔️ some job types require history

Always talk to your broker before switching employers.

9️⃣ Taking on new debt

New loans or credit lines before closing can derail the approval.

✔️ lenders re-check credit before funding

✔️ new debt raises ratios

✔️ approval can be withdrawn

Avoid any new credit until you have the keys.

1️⃣0️⃣ Down payment must be confirmed early

Lenders need proof of funds well before closing.

✔️ bank statements required

✔️ funds must be verified

✔️ must be in your account early

Unverified or late-arriving funds can stall the entire deal.

💬 Final Thought

Even small details in a real estate transaction can impact approval, timelines, or loan amount.

If you want a smooth, stress-free closing, message The Frontline Mortgage Group early so we can catch problems before they happen. 💬