Having an excellent credit score is very useful. The following are some tips on how to maintain a superb credit score. Open Credit Accounts When You Do Not Need Them If you don't have any credit accounts, you will have a low score. The best time to open them is when you do not need them. Keep a small balance on them and pay it all off at the end of each month to avoid paying interest. Charge Up To Half The Credit Limit Then Pay It All Back Within A Few Months If you must use a credit line, only use half of it and pay it back quickly. Buy Big Ticket Items With A Credit Card For Cash Back And … [Read more...]
Mortgage Challenges For Self-Employed Home Buyers
It's no secret that mortgage lending institutions look favorably on steady paychecks and positive debt-to-income ratios. That can leave many self-employed prospective home buyers feeling anxious about getting approved for a mortgage. But just like the 9-to-5ers who get regular paychecks, self-employed people earning a good living can get approved with a little due diligence. The primary concern of mortgage lenders is not necessarily where your revenue comes from, it's confidence that you can meet the monthly obligations. A lender probably wouldn't see a significant difference between someone … [Read more...]
Three Ways That Your Credit Score Affects Your Mortgage (and Your Chance of Obtaining One!)
If you're thinking of buying a home, you've probably been thinking a lot about your credit score as well. Credit scores control so much of what we do in the world of finances, but what does your credit score really have to do with your mortgage? Here are three ways that your credit score could impact your mortgage application. Your Credit Score Affects Your Ability To Get A Mortgage The first thing your credit score tells a lender is whether they should lend to you at all. In some cases, if you have a very low credit score, you may not be able to obtain a mortgage at all. Different lenders … [Read more...]
How To Improve Your FICO Score
The U.S. housing market recovery is underway. New home sales are at a multi-year high, housing starts are at pre-recession levels, and home builders plan for a strong 2013. Since late-2011, falling mortgage rates have boosted buyer purchasing power. Now, today, in many U.S. markets, the number of active home buyers outnumbers the number of active home sellers. It's among the reasons why home supplies remain scarce and why home prices are rising. Roughly 20 percent of today's home buyers purchase homes with cash. For everyone else, the ability to gain mortgage approval depends on income, … [Read more...]
