It seems like everywhere you turn there is a new way to find out your “credit score”. While there are many factors that go into qualifying you to purchase a home your credit score is most important. Credit scores are one of the main factors that can have an effect on your interest rate and therefore the monthly cost of your home.
The credit score used by a lender to qualify you for a mortgage is pulled from a specific type of report only available to lenders, or directly from one of the 3 credit bureaus. Many people assume this can be generated through credit card statements and credit service platforms, which are not always an accurate indicator of your credit score. Your credit history determines what loans you will qualify for, as well as the interest rate you will be paying. This is why it is extremely important to have a lender or mortgage broker run an accurate credit score evaluation before your home search.
The lenders usually follow the guidelines below:
- Having low credit scores do not always deem you ineligible
- When your credit information changes so does your credit score
- Better credit scores usually lead to better rates
- Change your credit score by paying off debts
- Start saving your money
We can help you in your journey of purchasing a home and taking the correct steps. We are conveniently located at 7448 Amboy road on Staten Island, New York.