11/04/2026
If you're thinking about upgrading your home before you move or refinance, listen up! 👂 I see so many clients make this crucial mistake that can actually crush their chances of getting the best loan.
Here's the deal: Don't do any unnecessary upgrades that won't actually add value to your home. Why? Because any debt you add to yourself, even for a remodel, changes your Debt-to-Income (DTI) ratio! 📉
The bank uses your DTI to determine if you can afford the monthly payment. While programs vary, a great benchmark is keeping that DTI below 40%. You want your debt to be significantly lower than the income you make!
Keep that DTI low and protect your buying power! 💪 It's not about how nice your granite countertops are; it's about qualifying for the dream home later.
🏡 Save the big, personal upgrades for after you close on the new place!