A home buyer’s credit score helps determine the down payment she’ll make at closing, her buying power (how much she qualifies for), the Private Mortgage Insurance (PMI) premium, interest rate, and the overall monthly mortgage payment. Because credit affects so many aspects of the lending process, every home buyer should care about her credit. It’s amazing how even a 20 or 40 point increase can change the affordability of the home you purchase when the price of the home stays the same. For buyers who can push their credit score over the 680 milestone, we see a substantial improvement in their mortgage options.
I’d like to make very clear that not all credit enhancement programs are trustworthy or effective. In fact, I think probably only a small
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