10 Ways Houston First Time HOme Buyers Can Improve Their Credit Scores
Hi there. It’s always good to have you stop by. Buying a house is a very big deal. Getting there is not always easy. One way you can make sure to get to the finish line, is to make sure your credit scores is where they need to be. If your credit scores are a bit on the low side, here are 10 ways you can improve them.
Make sure your credit report is accurate.
Pay your bills consistently on time.
Pay more than the minimum.
Reduce or pay off balances on credit cards- debt to income is crucial when buying a house.
Do not close your oldest account- length of account does matter.
Become an Authorized user - this can help build and or increase your scores quickly.
Refrain from applying for Multiple lines of credit at once - these inquiries are hard pulls and can hurt your score.
Maintain a variety of credit. Example, auto, credit card, bank loan is a good mix and does represent about 10% of your credit score.
A secure credit card can help to establish and or improve your existing line of credit, thereby increasing your scores.
Monitor your credit. Keep it locked if you must.
Your credit score can have a major impact on your finances and your life. Having low scores will make it difficult for you to get a mortgage loan and if you do, you will pay dearly by way of higher interest rate.
We at First Home Houston want to make sure you have the information you need to make the most informed decision. Remember, income is never considered in determining credit scores. It is all about how you manage the money you do have, regardless of how much that amount is.
There are rich people with good credit and there are rich people with bad credit. We want you to have great credit. We at First Home Houston is always looking out for your best real estate interest. As always, we thank you for stopping by. Until next time… Diana.
Image design by Diana for first home Houston
