November 19, 2014
What does your credit score have to do with buying a home? Why should you care?
What does your credit score have to do with buying a home? Why should you care?
Your credit score has to deal with if you can get a loan. If you heave a bad credit score, you won’t be able to get a loan for a house. If you have a good credit score then you can get a better rate on your mortgage also. You should care because if you have a bad credit score, you might not be able to get a house or you will have to pay more for it in the long run.
Your credit score has a major impact on your ability to get a good loan for a house or even get a loan in the first place. If you have a bad credit score that means you are risky to lend money to so the banks will not want to lend to you. The credit score also affects the interest rate that you will pay on your loan. You want to get your credit score to 760 so you get the best loan that are out there for you. You should care because a small difference in a loan interest rate is thousands of dollars at the end of the loan.
Well said, gentlemen. Let’s review.
A high credit score (760) will reduce the interest you pay on a mortgage. A low credit score will increase the interest you pay if you get the loan at all. It is worth your time to increase that number because it will save you many thousands of dollars over time. It could easily approach tens of thousands of dollars!