If you’re thinking of purchasing a home anytime this year, you should be checking your credit scores now. Buyers often make the mistake of not checking ahead of time. Here are several reasons why you should check credit scores months before purchasing a home in the greater Minneapolis / St. Paul MN area.
Identifying Credit Report Errors
According to the Federal Trade Commission, 1 in 5 Americans have an error in his/her credit report. Some errors are minor and do not affect scores, but others can be “material errors” that negatively impact credit scores. Correcting material errors will increase your score and improve your chances of qualifying for the best mortgage programs and rates available. This can be a big help when purchasing a home in the greater Minneapolis / St. Paul MN area.
Correcting credit report errors can take several months. It involves contacting the credit bureaus (Equifax, Experian, and Transunion) and/or creditors. You need to start now to have sufficient time to resolve issues before applying for a mortgage.
Improving Credit Scores
If your report does not contain errors but your score is a bit low, there are things that you can do to improve your scores. It takes time, so it’s best to get a head start. Here are a few things that you can do…
Understanding Your Path to Homeownership
Check credit scores months before purchasing a home in the St. Paul MN area so that you know where you stand and what you need to do to buy a home. Planning is key and it all starts with your credit scores. You may request a free credit report once every year from the 3 major credit bureaus. You can also contact a mortgage lender for this information and for guidance on mortgage programs and options. Contact me today to get started!