The company responsible for FICO score has created new credit scoring models that will be available from all three credit-reporting agencies —Experian, TransUnion, and Equifax—by the end of 2020. So, if you’re going to be applying for a mortgage to buy or refinance your home, you should pay attention to the way it’s going to affect your credit score. While
When mortgage lenders ask to review your bank statement, they are doing so to ensure that you have sufficient funds to cover the down payment and closing costs. Some also might want to see if you have enough reserves to cover the first few mortgage payments and any emergencies that might arise. That’s why it’s a good idea to steer
While buying a house is exciting, it can take much longer than you might expect. First, you need to get pre-approved for a mortgage, next you have to find a home that you can afford that checks all of the boxes on your wish list, and then you have to handle the financial paperwork…along with several other tasks. The time
If you recently purchased a home and are preparing to file your 2019 taxes, you’ll want to be aware of the tax breaks that came about as a result of the new Tax Cuts and Jobs Act that went into effect on Jan. 1, 2018. While there’s not much that has changed tax-wise since then, here’s a refresher course so
With interest rates at near historic lows, you might be thinking about refinancing. That means you may be able to swap out your old, higher interest rate for a new one with lower rates. But will that put you in a better financial situation? Today’s borrowers can get a 30-year mortgage for 3.81 percent and a 15-year loan for 3.16
If you’re planning on buying a home, you should know that maintaining a good credit score (between 700 and 749) can potentially save you hundreds of dollars a month on mortgage payments—and maybe tens of thousands during the course of the loan. Why? A high credit score assures lenders that you likely will be able to repay your loan, and
If you’ve ever purchased a home, you might think you’re something of an expert at figuring out how mortgages work. But you’re probably wrong. In terms of financing, there are several misconceptions that you might not be aware of that could hinder your ability to find the right home. Here, Realtor.com debunks four of the most egregious. 1. You need to
What if you find the perfect property, only to learn that you don’t qualify for the home of your dreams? If you don’t earn a loan pre-approval before you start looking, that could very well happen. Here, x reasons why a pre-approval is key to your home search. 1. Streamlined hunting Most home buyers start out by browsing homes for sale
Is your New Year’s Resolution to purchase a new home in 2020? If so, you likely will need to save some money for a down payment. Here are some quick ways to cut your spending and send the savings to your down-payment fund. 1. Focus on priorities Paying off rent and credit card debt should be your priority. This
Homeowners can easily get into a comfortable groove year after year by making monthly mortgage payments, auto-renewing homeowner’s insurance, and putting off upgrading appliances and lighting, among other things. But that groove can cost money. Making the minimum loan payments (while putting extra money in a low interest-bearing savings account) or keeping the same policy for years (without shopping around
