Thinking About Buying? Know Your Credit Score
Knowing your credit score or getting a recent copy of your credit report is one of the first steps that you can take toward knowing how ready you are to start the home buying process.
Make sure all the information listed on your report is accurate and work to correct any mistakes. The higher your credit score, the more likely you will be to receive a better interest rate for your mortgage, which will translate into more ‘home for your money.’
Many potential buyers believe that they need a 750 FICO® Score or higher to be able to purchase a home. The truth is that according to Ellie Mae’s Origination Report, over 53% of loans were approved with a FICO® score under 750 last month!
Here are some tips for improving your credit score:
-
Make payments, including rent, credit cards, and car loans, on time.
-
Keep your spending to no more than 30% of your limit on credit cards.
-
Pay down high-balance credit cards to lower balances, and consider balance transfers to free up credit.
-
Check for errors on your credit report and work toward fixing them.
-
Shop for mortgage rates within a 30-day period – too many spread-out inquiries can lower your score.
-
Work with a credit counselor or a lender to improve your score.
Once you know your score, your next step will be finding a lender and getting pre-approved for a mortgage. Doing this will ensure that you know your budget before you start looking for your dream home.
To view original article, please visit Keeping Current Matters.
A Window of Opportunity for Homebuyers
The housing market is still strong; it’s just easing off from the unsustainable frenzy it saw during the height of the pandemic.
What’s Causing Ongoing Home Price Appreciation?
Experts forecast ongoing home price appreciation thanks to the lingering imbalance of supply and demand.
Think Home Prices Are Going To Fall? Think Again
If you’re planning to buy a home, you shouldn’t wait for home prices to drop to make your purchase.
Why Pre-Approval Is a Game Changer for Homebuyers
Pre-approval from a lender helps you understand your true price range and how much money you can borrow for your loan.
Wondering Where You’ll Move if You Sell Your House Today?
A trusted real estate agent will help you think through the pros and cons of new and existing homes to help you make your best decision.
Housing Experts Say This Market Isn’t a Bubble
Lending standards are tighter due to lessons learned and new regulations enacted after the last crisis.
Expert Housing Market Forecasts for the Second Half of the Year
Housing supply is increasing, but there are still more buyers than there are homes for sale, maintaining the upward pressure on home prices.
The Drop in Mortgage Rates Brings Good News for Homebuyers
A decrease in mortgage rates means an increase in your purchasing power.
Is Homeownership Still the American Dream?
Your home is your stake in the community and a strong financial investment, something you can be proud of.
If You’re Selling Your House This Summer, Hiring a Pro Is Critical
Today’s market is at a turning point, making it more essential than ever to work with a real estate professional.