Helpful credit tips while qualifying for a home

5 Credit Tips: to help you qualify for a home loan

By Stephanie Black with Andorra Credit Repair Corp

Buying a home can be dream come true.

Here are a few tips to help you make sure the dream doesn’t turn into a nightmare.

  1. Do not buy a car…
    • This can directly impact your credit score and your debt to income ratio (DTI) in a negative manner. Wait until after you have closed your loan and you know what your budget will allow.
  2. Do not max out your credit cards…
    • If your credit cards are over 30% of the available credit limit, pay them down right away!
    • If your your credit card balances stay between 10-30% of the credit limit, you can improve your score by 20-60 points.
  3. Consolidate your student loans…
    • This is another great way to save money. There are multiple programs that can help you lower your student loan payments and help you qualify for your home loan. If your loans are in default you will need to do a “rehab program.”
  4. Do not pull your credit…
    • If you run your credit multiple times you can significantly decrease your credit score. If you want to know what your credit score is then go to and you can get an accurate score that is the same as what the lenders pull. Stick with one lender so you maximize your score.
  5. Pay your bills on time, all the time…
    • One 30 day late payment will drop your credit score 75-100 points overnight

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