Credit Scores
Credit scores play a big part in the mortgage world. They are used both for loan eligibility and for mortgage rate pricing.
In other words, you credit score can dictate whether you qualify for a mortgage. And also at what cost.
Good credit scores are rewarded in the mortgage industry. They can expand your available loan options and help you snag the best rate.
This is super important because that mortgage rate might stay with you for years to come, possibly even 30!
The good news is credit is one of the few things you can (mostly) control, so do your best to avoid late payments and keep balances low.
Doing so will help you obtain and maintain an excellent credit score. In short, it’s best to strive for a score of 780 or higher to enjoy the lowest rates available.
And remember, mortgage lenders pull all three of your credit scores, then take the middle score for pricing and qualification purposes. So be sure your scores are solid with all three credit bureaus.
You can learn more about how mortgage lenders use credit scores via my in-depth article on the topic.
Or browse the posts below that are related to mortgages and credit scoring.