Credit is one of the driving factors for both mortgage qualification and interest rate determination. Accordingly, monitoring credit prior to being pre-approved and through your closing date is extremely important. Every time your credit is pulled there is a negative effect on your credit. The best thing you can do to properly prepare yourself to get pre-approved is meet with a Realtor or lender to discuss what loan program would be best for you and the minimum credit score required to use each program. Then use free credit check tools such as Creditkarma.com or check with your financial institute to see if they offer this as a free service included in your membership. This will save you from lowering your credit score by allowing your lender to pull your credit before you are actually in an acceptable position to be approved. The attention to credit does not stop there, your lender will need to check your credit again right before your closing date. You must continue to monitor your credit and be deliberate with your spending and financial decisions. Credit Don'ts include: Don't consolidate your debt to 1 or 2 credit cards, Don't apply for a new credit card within 45 days of signing, Don't max out or overcharge your current credit card accounts, Don't close credit card accounts, Don't payoff any collections or charge offs and don't do anything that will cause a red flag to be raised by the scoring system (this includes adding new accounts, co-sign on a loan, changing your name and address with the bureaus). Credit Do's include: Do join a credit watch program, Do stay current on existing accounts, Dofile business and person tax returns or extensions, Do explain or document all inquires on your credit report, Do disclose all debt - even if it did not show up on your credit report and Do continue to use credit as normal. Align yourself with the right team of professionals and follow these tips and you will move from pre-approval to closing without any problems or delays!
Author:Chris Myrick Phone: 850-591-1956 Dated: May 30th 2017 Views: 197 About Chris: As a college student Chris began working with one of our affiliated companies, Rent With Integrity P...
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"I wanted to buy a house to flip with some of my retirement money and called on Kinley first because he is a friend of the family. Sometimes it's hard to do business with friends and family but Kinley proved worthy of his credentials. He advised me on several 'opportunities' and still never pressured me. When I did decide to 'jump' on a house he helped me set up an expected budget for the repairs and made several contractor recommendations to get me started. In the end, we were able to get a little more than the 'sure bet' price he gave me to base my numbers off of. It's not quite so easy as they make it out to be on TV but I was overall very happy with the investment and glad I chose Kenley and the Integrity Leaders to help me get the job done."