If you’ve been looking into applying for a mortgage loan recently, you know that your most important score nowadays is your credit score. And, you’ve probably realized that getting that Sky Mall credit card when you were 21 probably wasn’t the best move. You’ve heard the commercials, you’ve talked to the people at the bank, and now, we’ve gathered a few tips from local Rhodes & Co. real estate agent Pat Phillips on how to ensure you get that loan for your dream house.
1. Don’t purchase big ticket items before starting to look for a house.
The house has to come before the jet ski. Why? Because Pat says you don’t want to overload your debt-to-income ratio, which could definitely hinder your score.
2. Make sure your score is at its best.
Realtors have difficulty working with buyers who are not yet pre-approved, but according to Pat, having a decent credit score can can decrease some additional fees, along with your interest rate. So, you know, pay your bills on time, pay above the minimum on your credit card, and don’t invest in that artisan chicken nugget restaurant — yet.
3. Consult a lender.
Pat says that she typically will refer her clients to a lender if their credit score isn’t where it’s supposed to be. Lenders will help you clean up your credit score and get it to where it needs to be in order to qualify for a loan.
Remember those days when the most important score in your life was your SAT score? Yeah, those days are gone. Have no fear — it is possible to live your best life with your best credit score and qualify for that mortgage loan. Consider this the adult version of SAT prep.