Want to Improve Your Credit Score Before Buying a Home?

When you’re looking to buy a home, one of the first things you should do is take a look at your credit score. Why? Because this is the first thing that lenders will look at to determine the type of loan you will qualify for and the interest rate you will pay.

Simply put, your credit score plays an important role in the home buying process.

For those who already have a strong credit score (typically 700 and up), great! That is one less thing you will have to stress about as you take steps toward purchasing your dream home.

For those who either do not know their score, or have a poor score (typically 649 and below), we are sharing a few simple ways you can improve your score and get on the right track toward purchasing the home you want at the rate that’s right for you.

Pay Bills On Time
One of the best things you can do is make sure that you pay off your credit card bill on time, every month. Delinquent payments, even ones that are only a few days late, can have a major negative impact on your overall credit score.

Sabal_Credit_BlogKeep Credit Card Balance Low
A simple trick to keeping your credit card balance low is to restrict purchases on your credit card to simple purchases you know you will be able to pay off in a timely manner. For example, only use your credit card when buying groceries and gas or paying your monthly bills.

Only Open New Credit Accounts As Needed
There is no need for you to have 12 credit cards. Having a few is okay, as long as you are able to keep up with payments. Be extremely selective and resist the temptation to sign up for every credit card promotion that comes your way.

Set Up Payment Reminders
An easy way to keep up with your credit card payments is to pay off your credit card balance at the same time every month. If you have an online banking account, set up payment reminders, or set up reminders on your phone or calendar.

Speak To A Lender
To see what type of score you need to qualify for the desired interest rate and loan you want, set up a meeting with a lender. At Sabal, we work with several expert lenders who are determined to help our homeowners find the best home, loan, and interest rate:

If you live in, or are interested in living in, Summer Wood, Palmetto Walk, The Landing, Foxbank Plantation, or Carnes Crossroads, contact the Mortgage Lender at Regions Bank at 803-343-2287. For The Coves at Cane Bay Plantation or Summers Corner, contact the Mortgage Lender at Ameris Bank at 843-695-5592.