Can Recent Updates in Credit Scoring Affect Your Home Loan?

When you’re looking for a quality home loan, credit score is a major factor.
This means that the recent credit score jump may affect you.

What is Changing

Improved standards for utilizing new and existing public records (implemented July 1) are causing major credit reporting companies to drop some tax liens and civil debts from credit reports. This means that about 11% of Americans may have an improved credit score. Some scores are expected to increase by up to 40 points, according to LexisNexis.

Your Credit Score and Home Financing

Every loan is different, but home loans all have minimum credit score requirements. Financial lows on your credit record may have prevented you from qualifying for a specific loan. But if you have seen an improvement in your score, your loan options may be much improved. The key is knowing your score.

Knowing your score is always beneficial as you look for a home loan that suits your home buying needs. Below are some resources you can use to learn your score:

 

Looking for more information concerning credit score and possible home loans? Contact us to speak to one of our friendly and knowledgeable staff.