The mortgage applicant that can prove they have been responsible enough to make on time payments for years will have the highest chance of being offered the lowest rate.
Chicago, IL (PRWEB) February 06, 2015
Peoples Home Equity realizes that many Americans will be applying for a home loan this year. Due to lower national unemployment and rising wages many Americans will have the confidence to apply for a home loan. However, even in a stronger economy the basics to qualification of a loan are still in effect, actually more so than in the past since lenders have tightened their lending standards.
Make Sure The Credit Score Is High
Having a credit score in the 700’s is a must if one wants to take advantage of the incredibly low rates currently offered. Rates are currently below 4% across all mortgage term lengths. In order to have a high credit score individuals must make sure they are paying their bills on time. Lenders like Peoples Home Equity love to see mortgage applicants that have a long steady stream of payments to their bills. One does not need to necessarily pay off their credit card debt every week; all the lender is asking is to see the minimum payment plus some extra principal on a routine basis. The mortgage applicant that can prove they have been responsible enough to make on time payments for years will have the highest chance of being offered the lowest rate.
If unsure what your credit score is, one can look it up at freecreditreport.com.
Review The Credit Report
Also remember to check if there are any mistakes on the credit report. For example, it’s not uncommon for credit agencies to mistakenly think an individual is liable for the balance on someone else’s credit card when really they are just an authorized second user. Imagine if the credit card has a high balance, this may severely detriment the individuals credit score.
Stop Opening And Closing Credit Cards
The process of opening and closing credit cards can bring down a credit score. Even if this is just a few points, one does not want to be bothered with a lower credit score during the moment they need the highest score to show.
If in need of a mortgage, contact a Peoples Home Equity loan officer today at: 262-563-4026