Is Your Credit Score Too Low For A Mortgage Loan?


 

Find out if your credit score will qualify you for a home loan

Find out if your credit score will qualify you for a home loan

If you are in the process of purchasing a new home, knowing your credit is the first and most important step. Have you been turned down for a mortgage loan previously because of credit issues? Have you recently pulled your credit report, only to realize that your credit is worst than you expected?

Well don’t throw in the towel just yet! There are several options for you to choose from.For instance, did you know that Paramount Residential Mortgage Group can get you a mortgage loan with credit score as low as 550? Well we can, FHA style! You just have to know we as a lender expect from you as a borrower if you have such a score. Contact us to find out.

Now for those of you who have a credit score lower than 550, then you have a little bit more work to do, in order to get your credit where it needs to be in order to purchase a home. One possibility would be to work with a home ownership counselor. There are some local and national nonprofits that offer home-ownership counseling such as Home Free-USA and Hope Now.

These organizations offer counseling to future home buyers who need help in raising their credit scores and navigation through the home buying process.Even though raising your score does not happen overnight, with the help of a credit and housing counselor, you can learn the steps to take to raise your score and get qualified for a home loan.

Credit Score RatingBringing your credit score up is not hard to do, but it does take time and patience to get on the right track.Follow a few of these simple steps that can help you get your credit score up so that you can qualify for a mortgage.

1. Correct all errors on your report, even late payments or collections accounts that are being reported improperly

2. Make all of your payments on time. Late payments can be the number 1 mistake a person makes, which brings their score down tremendously.

3. Pay down any revolving debt such as credit cards. Keeping a high balance, mainly over 30% is a definite way to make your score go down.

4. Be patient! Keep paying down your debt and do not get any new debt, your credit score will rise.

Even if you did decided to purchase a home putting more money down with the minimum score of 550, still strive to achieve and even more perfect score. These are good, healthy credit habits to have to start for a lifetime.

For more information on getting you pre-qualified for a mortgage loan Contact Me today for a free no obligation evaluation.

 

Leave a comment