Avoid These Costly Mistakes on Your Loan Application Declarations
When you're applying for a home loan, it's easy to get overwhelmed by paperwork. But there’s one section that deserves more attention than most people give it—the Declarations Section.
In this post, we'll break down:
What the declarations section is
Why it matters more than you think
Real-life consequences of answering incorrectly
How to protect your loan approval and sanity
🧐 What Are Declarations on a Loan Application?
The declarations section of a mortgage application includes a series of yes/no questions designed to uncover potential red flags for lenders. These may include:
Are you currently in a lawsuit?
Have you co-signed a loan for someone else?
Are you obligated to pay child support?
Have you had a foreclosure or bankruptcy?
It’s tempting to just speed through these and check “No” down the line—but that can be a big mistake.
⚠️ Why Rushing Through Can Cost You
Let’s look at a real-life example:
A couple applying for a mortgage confidently marked “No” on the child support question. They believed any past child support issues were fully resolved.
✅ Credit reports were clean.
✅ No public records appeared.
✅ Everything looked perfect.
But just before closing, their title report revealed four different liens due to unresolved child support obligations.
The result? Stress, delays, and last-minute scrambling to clear the liens before the home purchase could go through.
💡 Lesson: When In Doubt, Disclose and Ask
Here’s what you should do if you’re not 100% certain about any declarations:
✔️ Talk to your loan officer – Let them know your concerns.
✔️ Be proactive – If you think you had a legal or financial issue in the past, mention it.
✔️ Request a faster title report – In some cases, the title company uncovers issues you wouldn’t otherwise know about.
By disclosing early, your loan officer can prepare a strategy to help you navigate potential roadblocks before they turn into loan-ending disasters.
📋 Pro Tips for Navigating Loan Declarations
Slow Down: Read every declaration carefully.
Don’t Assume: Just because your credit report looks clean doesn’t mean you're in the clear.
Use “Yes” Strategically: If something might apply, check “Yes” and explain it.
Communicate: Keep your loan officer in the loop at all times.
🏁 Final Thoughts
The declarations section isn’t just a formality—it’s a critical checkpoint in the mortgage process. Taking a few extra minutes to answer thoughtfully can save you weeks of hassle and stress.
If you’re unsure about any declaration, don’t guess—ask. We’re here to help guide you through every step of the process.
📞 Got questions or ready to start your application? Contact us today for expert guidance.
#MortgageAdvice #LoanApplicationTips #HomeBuying2025 #RealEstateTips #MortgageMistakes #LoanOfficerAdvice #HomeLoanHelp #Sloane JillianBrogan
