Mortgages and Your Credit ScoreMortgages and Your Credit ScoreMortgage lending rules require home loan borrowers to prove that they can afford a
mortgage; a necessary step before browsing Sterling homes with their local real estate experts at Ask Gina & Company. What can you do to increase your chances of being approved for a mortgage? Simply take these two steps:
Your credit file will list any previous credit agreements that you have taken out with
- Check your credit score
lenders in the past. This could include previous loans, credit cards, or store cards that you might have had. Neglecting to make payments could have a detrimental effect on your ability to acquire credit. Have you recently applied for finance, were rejected, and don’t know why? Something in your credit file is stopping you from being approved. A number of credit reference agencies collect this information about you and will allow you to view your financial history for a fee. Some credit reference agencies offer a free trial and then charge you on a monthly basis if you fail to cancel your subscription.2. Do your researchEven with defaults on your credit file, you can apply for a mortgage. However, consider sorting out the root of the problem, which will give you access to better rates and more options. Research how you can improve your credit score and act accordingly. Perhaps consistency will help your score; consider driving around the same vehicle rather than upgrading to the latest and greatest. A credit repair company may be able to assist you and relay further options if you have an adverse credit history. It is important to check your credit file and research any improvements that you might be able to make to your credit score before seeking financing.
When you are ready to purchase or sell a Sterling, Virginia home, call Ask Gina & Company, your 20165 real estate experts, at (703)574-3478. We want to help you unlock the possibilities of being a Northern Virginia home owner.