Buying a home can incite a variety of emotions. While you may feel excited, you’re probably wary of the financial responsibility and changes to your budget. If your credit score is low, you may also be wondering how the past will affect your ability to secure a good deal. Diminish your worries by tackling these interest-busting mortgage strategies. A low interest rate is the key to smart buying.
-Close credit accounts, even after paying off the balances
-Apply for new lines of credit, i.e., add unnecessary inquiries to your credit reports
-Exceed a credit utilization ratio of 25 percent
Review your credit reports with a professional, working to remove mistakes and outdated information. A little attention could do wonders for your credit score, allowing you to secure a better deal.
The bottom line: Lending conditions are sure to vary, but attention to detail will help you gain a measure of control. Take your buying experience seriously. A better interest rate could save you thousands of dollars.
Should you hire a financial advisor? Here you can get all of your questions about…
While paying off collections generally won’t improve your credit score, newer scoring models like FICO…
If you’re wondering “how much will a secured credit card raise my score,” it won’t…
Learn what credit mix is and how it affects your credit score, as well as…
Discover the best finance podcasts to learn everything from how to create a budget to…
Do utility bills affect your credit score? Get the facts about how accounts like gas…