Credit Score Ratings
You really need to fully understand your credit score ratings and what they mean before attempting to qualify for a mortgage or even seriously looking at homes. Generally, you need an average credit score of 720 or better in order to qualify for the best mortgage rates and qualifying ratios. Anything below that probably will result in higher interest rates, higher down payment requirements and tighter qualifying ratios.We start with a discussion of credit and credit scoring in the section, "Understanding Credit Report Score". As part of this discussion we will direct you to the official "free annual credit report" website where you can get your credit reports for free from all three major credit bureaus: Experian, Equifax, and TransUnion. We will also include information about what people refer to as "credit report score chart", "credit rating score scale" and "credit score chart". Basically all these refer to the same thing, "What is considered good credit". In the section, "Bad Credit Home Buying", we will discuss buying a home after foreclosure, buying a home after bankruptcy, and options for buying a home if your credit score is temporarily low but can be improved within 6 months to a year. One way to buy now in such a situation is to find a home that can be purchased with a lease/option. We get into more detail about lease/options in this section. Another section,
"Credit Repair",
will discuss how to improve a credit score and improving credit. Your options include DIY (do it yourself) credit repair or using a credit repair company to do it for you. There are many basic ways to improve your credit score which can easily be done by you with a little knowledge. We'll do our best to provide you with the resources to help you improve your credit yourself but also to choose the right credit service organization to help you if you decide to pay someone else to do it for you.
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