Can You Get a Mortgage? See What the Credit Rating System Says

If you have a below average credit score, you mayFirst, it's a good idea to check you mortgage credit
be surprised to find out what kind of mortgage youscore if you plan to buy a new home or refinance
can get approved for. The mortgage credit rating isyour existing mortgage. The banks won't know your
designed to make it easy for banks and lenders tocurrent rating until they pull your credit, and you can
determine how likely you are to pay your mortgage onincrease that in order to get approved for the best
time. A bad score tells them you are at risk, while apossible rates. By doing so, you'll have lower payments,
good score can allow you to get approved for theget approved for more money, and may get away
best possible rates.with a lower down payment.
What's a good mortgage credit score?Once you check your credit information, you'll see
The average rating in America is around a 680. Notexactly where you stand on the credit score scale
long ago that would have allowed you to receive aand be able to determine they type of loan you can
favorable home loan. But today, after the mortgageget approved for and what your monthly payments
crisis, banks are requiring a higher score. Luckily, it haswill be. That way you can tell before you start
become increasingly easy to increase that score andshopping for your new home exactly how much you
polish up your rating before the banks ever have acan afford to buy.
chance to look at it.