Current Insights to Start January

As we start 2024, hitting the ground running, there are a few areas I see that need improvement in this current market. The most important underestimated topic so far has credit.

I have been seeing way too many applications come in where everything looks good besides the credit score. A concerning trend I've seen in applications is many individuals with impressive incomes find their mortgage journey hindered by bad credit scores. It's a revelation that emphasizes the critical role credit plays in the homebuying process. Whether it's the challenge of managing existing debts or never having established credit history, these issues can significantly impact one's ability to secure a mortgage. For instance, a credit score of 580 is the minimum requirement for an FHA loan, setting a baseline that applicants should aim to surpass comfortably.

Understanding the implications of your credit score is super important. Not only does it influence your eligibility for a mortgage, but it also has a direct bearing on the interest rates you qualify for. Achieving and maintaining a higher credit score not only opens doors to more mortgage options but also positions you to secure more favorable interest rates. This, in turn, translates to a lower monthly payment, which can help anyone in any situation.

In this crazy real estate market, ensuring your credit stands strong becomes a necessary move for navigating the homebuying process successfully. As we move forward into 2024, let's ensure that everyone is aware of what is needed for credit. If you're a realtor, make sure all your future clients have the knowledge of how important it is to have their financing together. Competition will be ramping up a ton in the future, so having this in order will make sure you are as ready as you can be, if you need to make an offer on a home.

If you enjoyed reading this, consider liking and sharing it! If you or anyone you know has any questions, please reach out!

Best,

Anthony Lombardi #2515698

Mortgage Loan Originator

Greentree Mortgage Company LP

Cell:?856-537-0830

Email: [email protected]

Fax: 856-267–1976