Busting Myths of Home Buying – Myth #2 : You need awesome credit to buy a home

Blackwood Real Estate Advisors August 16, 2018

We are in a series on Busting the Myths of Home Buying and setting the record straight. Whether you have purchased a home or not, there are so many misconceptions out there. Be sure to check them all out. You might be surprised that buying a home may be easier than you think.

 

Myth #2: If you don’t have an awesome credit score, you can’t buy a house.

Reality: Yes, it’s true- the higher your score, the better your interest rate is likely to be. Typically, people with scores of 720 and up nab the best rates.

However, even if your credit is less than perfect, you could still be able to qualify for a mortgage, it just depends on the lender and their qualifications.

Over 50% of approved mortgages had a credit score of 600-749. Some lenders will work with you with credit scores even in the 500’s.

However, you will be doing yourself a favor if you connect with a credit repair specialist to at least get those numbers in the 600’s. A better score will lower you interest rate.

If you aren’t sure of your credit score, you can find out where you stand by getting a free annual credit report at annualcreditreport.com. Check for any errors or unresolved issues, and then start to work on raising your score if needed. There are some good credit repair companies out there as well.  I have some great contacts I can put you in touch with!

Bottom Line: Whether buying your first home or moving up to your dream home, knowing your options will make the mortgage process easier. Contact me today and let me know how I can help you. Your dream home may already be within your reach!

 

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