Tip of the day - Credit.
Most people are unaware of what their personal credit score is, and they don’t know that they can do simple things to improve it. Every transaction you do in the industry will call for a personal credit check. You will lose thousands of dollars unnecessarily if you do not manage your personal credit score. Go into every loan application process with your most current credit score in hand, and make sure you have corrected any errors that you may find on your report before you begin to buy real estate.
Some mortgage brokers may quote you a teaser rate based on the need to have a very high credit score and then disclose a much higher interest rate days before the closing of your transaction when your true credit score is revealed. Ask the broker to quote you an interest rate based on your current credit score AND the kind of mortgage you want to apply for.
Understand that no matter what your credit score is - interest rates are always higher for a stated income mortgage than they are for a full document mortgage.
A good resource for understanding the credit scoring system is found @
www.CashFlowExperts.Biz/Donna
