To help get your mortgage or refi OK’d while interest rates are at an all-time low, check your credit score and report, pay down debt and compare mortgage lenders.
WASHINGTON – The coronavirus pandemic has made a huge dent in the U.S. economy, but mortgage interest rates are at an all-time low. It’s no surprise then that in 2020, existing-home sales hit their highest level since 2006, according to the National Association of Realtors®.
That said, because of the economic downturn, many home lenders have tightened their underwriting criteria, showing some caution about who they’re willing to lend to. So, even if you meet the minimum requirements to get a mortgage, it may still be tough to qualify.
If you’re hoping to buy a new home or even refinance your existing mortgage loan, here are four things you can do to increase your chances of getting approved:
Check your credit score and report
Shop around and compare mortgage lenders
Pay down debt
Avoid taking on new debt
1. Check your credit score and report
Your credit score is a key indicator of your overall credit health. Use a free service like Experian or Discover Credit Scorecard to get free access to your FICO credit score, which is widely used by lenders – y (…)
Read source article: 4 Ways to Increase the Chances of Getting a Mortgage