Credit Report and Scoring
Buying your first home? You must check your credit
report!
Ensuring the accuracy of your credit report could
save you time and money. To qualify for the best home loan rates possible, be sure to
correct possible inaccuracies before they interfere with your home buying plans.
Free Credit Report and Score!
Credit Score is King!
First time home buyers
must run their own credit report with one score to get an idea
if they may qualify for
the best programs with the lowest rates and payment options. Do
not let everybody run your credit because it will lower your
score. Also, you should submit a pre-approval application to at
least one mortgage lender to find out the 3 mortgage credit
report scores because the mortgage credit may be different than
the one you obtain online. The middle
score is the most important factor in qualifying for a loan and
it is determined by dropping the low
and high scores. For example, if you have credit scores of
600,640,650, the middle score is 640. You do not average
the 3 scores.
What does the credit score mean?
|
720+ |
Excellent Credit |
|
680-719 |
Good Credit |
|
640-679 |
Fair Credit |
|
620-639 |
Marginal Credit |
|
Below 620
|
Poor Credit
|
A 620 credit score is the lowest score you can have to
qualify for the first time home buyer program. There are many people whose
credit scores are in the low to mid 500 range and I tell them
they need to work on their credit and they should be able to buy
within 6 months to one year.
Finally, I had bad credit 20
years ago with a 400 score, Ouch!, but I worked hard at
fixing my credit and I improved my credit score to 720+ in
recent years and now I have a great mortgage rate and low
payment on a beautiful new home. Contact Gerald Tribuzio
at 847-516-5743 for a phone consultation or email
jtrib@firsthomebuyers.net regarding your
credit situation and find out which loan programs may work for
you.
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