Do you know where you stand on the credit score extent? Your mortgage credit score is the number one thing that can prevent you from getting the money you need when buying your home. And if you think you can get a mortgage because you were approved in the past, think again…
With many recent changes since the mortgage crisis, it is not only harder to get approved for a mortgage, but many people’s credit scores dropped dramatically. That’s because the way your score is calculated was also changed.
Now it takes into account other items, such as your ability to manage different kids of credit. Because these new additions to the rating system never existed, millions of people were shocked when they went to the closing table, only to find out they could no longer get approved for the mortgage they were promised.
What can you do about it?
By checking your mortgage credit score now, you can see what you stand before your lender ever has a chance to pull your credit. You can get this information online for free, and once you do you’ll know exactly what kind of loan you should be able to get approved for, what your payments will be, and how you can increase your score if needed.
It’s a simple step that many people fail to take because it wasn’t necessary in the past. But with the new, stricter mortgage approval policies, it’s a necessary step that can change the complete buying course of action. As you are about to make one of the biggest purchases of your life, be sure to cover all your bases without cutting any corners.