PersonalDollar.com

Personal Finance & Money Management Resource Center

Articles
Auto Insurance Auto Loan Banking Credit Card Credit Score Debt Consolidation Financial Planning Foreclosure Forex Trading Frugal Living Health Insurance Investing Life Insurance Making Money Mortgage Mutual Funds Personal Loan Retirement Stocks Taxes

Tools
Auto Calculators Currency Converter Debt Management Calculators Investment Calculators Personal Finance Calculators Mortgage Calculators

Store
Books DVD Electronics Magazines Software

Home » Credit Score » Credit Help for Real Estate Financing: Credit Scores

Credit Help for Real Estate Financing: Credit Scores

By Jeanette Joy Fisher

Article Tools:

Email to a friend
Print This Post/Page

Print-friendly version

Bookmark:These icons link to social bookmarking sites where readers can share and discover new web pages.

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated  </p> </div><div id="ft"><p> <! in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Entity 'copy' not defined in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated  <! in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated    <! in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated <!---- in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated <!------ in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated <!-------- in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated <!---------- in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated <!------------ in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated <!-------------- in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Comment not terminated <!---------------- in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Opening and ending tag mismatch: p line 64 and div in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Opening and ending tag mismatch: td line 63 and div in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Opening and ending tag mismatch: table line 54 and BODY in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Opening and ending tag mismatch: div line 47 and HTML in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Premature end of data in tag div line 27 in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Premature end of data in tag body line 27 in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Premature end of data in tag HEAD line 2 in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: domxml_open_mem() [function.domxml-open-mem]: Premature end of data in tag HTML line 1 in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 177

Warning: process() expects parameter 1 to be object, boolean given in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 182

Warning: result_dump_mem() expects parameter 1 to be object, boolean given in /home5/digicamh/public_html/personaldollar/wp-content/plugins/inlineRSS.php on line 183

When you buy real estate, lenders run all of the “big three” credit bureau reports. Each credit reporting agency lists your credit history as supplied to them by the individual lenders and includes governmental records. Each report assigns a credit score number to you. The credit scores reflect your theoretical risk of default to the lending institutions.

Software developed by Fair Isaac and Company generates your “FICO score.” Experian uses a system called Fair Isaac Risk Model, a computer program which rates you with a score according to Experian’s information. Equifax bases scores on BEACON programs and TransUnion bases scores on EMPIRICA models.

Horrific XSLT error - news_creditscore returned empty - verify /home5/digicamh/public_html/personaldollar/wp-content/in_news_creditscore.xml is a valid XML file and check logs. Your Baseline

You have three credit scores, often called FICO scores, one from each credit bureau. The lender takes the middle score as your baseline. Lenders have different standards, but generally a “C” score is around 500 to 600, a “B” is around 600 to 680, and an “A-” is above 680. Over 700 is the magical number that gets you the attention you desire. If your score is under 500, find someone to privately finance for you or a partner with good credit while you work on improving your score.

How Lenders Rate You

Credit score Available mortgage financing
720 - 800 Superb! You get what you want
700 - 719 Wonderful! You get top rates & terms
680 - 699 Good! You get good rates & terms
660 - 679 All right. You pay higher costs & rates
640 - 659 Okay score if good income
620 - 639 Weak. You need good income & some money
600 - 619 Poor. Use creative loan broker & pay more loan costs
580 - 599 Almost impossible without large down payment
Under 580 Work on fixing credit without delay

What Does Not Count In Your Credit Score

The scoring model doesn’t compute:

Age & gender
Race
Whether you own a home or rent
Length of time at your current address
Job or length of employment at your job
Income
Education
Marital status
Whether or not you’ve been turned down for credit.

Real estate lenders don’t just consider your credit score when you apply for mortgage financing. Understanding your credit score helps you with this one part of your mortgage requirements.

About the Author

Professor Jeanette Fisher, author of “Credit Help! Get the Credit You Need to Buy Real Estate,” “Doghouse to Dollhouse for Dollars,” and other books teaches Real Estate Investing and Design Psychology. For more articles, tips, reports, and newsletters, see http://www.recredithelp.com/

Related Articles:

3 Ways to Improve Your Credit Score by 50 Points In Less Than 30 Days
In Less Than 30 Days. "What can you do to increase that set of three numbers on your credit report that can be so important with your financin...

How is Your FICO Score Determined?
Perhaps you're familiar with the FICO scoring system used by credit companies to determine a potential client's creditworthiness. But do you know ...

Credit Score Repair - The Higher Your Score, The Better For Your Credit
Credit score repair means that you want to take steps to improve the credit score you have on your credit report. A good credit score means that c...

How to Increase Your Credit Score for a Home Loan
Since mortgage lenders are businesspeople, first and foremost, they need to determine ahead of time if you're creditworthy before approving a home...

A Car Loan For People With Bad Credit
Most banks have strict policies about whom they will lend their money to and for what the money will be used. They will not grant you a car loan f...

Disclaimer: The views and opinions expressed in this article are the author's own and not necessarily those of PersonalDollar.com and there is no implied endorsement by PersonalDollar.com of any advice strategy.

FREE Email Updates
Your Name: Your E-Mail:

Feed
Subscribe to RSS feed What is this?

What's Hot

Recent Articles
Talk To A Specialist For The Cheapest Secured Loans The Fundamentals of Forex Trading for Beginners Credit Card Finance Charges Defined How To Shop For A Low APR Credit Card Working With A Financial Planner Demystifying Mutual Funds Money Saving Tips. Maximize Savings on Everyday Items! Student Debt Consolidation Common Credit Score Myths Trading Stocks - Never Forget About A Past Trade

Random Articles
RSS Feeds Credit Score Repair - The Higher Your Score, The Better For Your Credit Common Credit Score Myths Money to Time Calculator Credit Help for Real Estate Financing: Credit Scores

Featured Book