(opens navigation menu)

Where do You Start? Start with Your Credit!

Information for Buyers

When you look for a mortgage, lenders will review your credit report. Your credit report is a history of how you have managed your finances and repaid debt. It provides information on money you have borrowed and a history of your payments.

Your credit history is pulled together into a credit report by three private companies: Equifax, Experian and Trans Union. These companies sell your credit report to banks and other creditors so they can review mortgage and loan applications.

Your credit report includes:

  • A list of debts, such as credit cards and car loans, and a history of how you have paid them.
  • Any bills that have been referred to a collection agency. This can include items like phone and medical bills.
  • Public record information, such as tax liens or bankruptcies, even if these have happened several years ago.
  • Inquiries made about your creditworthiness. An inquiry is made when you request credit. Many times your report will also show if you were given credit based on the inquiry.

Most of the information in your credit report is deleted after 7 years (a bankruptcy is deleted after 10 years) and is continuously updated to reflect the latest information.

It's important that you look at your credit reports from each of the three companies to make sure they are correct. Your credit report may vary from one company to the other.

Your Credit Score

When you apply for a mortgage, the lender may request a credit score as well as a credit report. A credit score is a computer-generated number that indicates your ability and willingness to repay a debt based on your credit record.

Your credit score is part of the mortgage information that will decide if your application is approved. Your credit score may also be used to determine the mortgage interest rate.

Start Building Your Credit

Building good credit doesn't have to be difficult. Follow these tips and you're on your way:

  • Pay Your Bills on Time. How you've paid your bills in the past can indicate how you'll pay in the future. Credit scores emphasize your most recent payment record so if you've been late, start paying on time!
  • Pay at Least the Minimum Amount Required. You can always pay more, but you should never pay less.
  • Keep Credit Card Balances Low. Don't "max out" your credit cards.
  • Don't Apply for Too Many Loans or New Accounts. Requesting a lot of credit in a short time span may concern lenders that you won't manage your debt well.
  • Establish Credit if You Have None. 
  • Apply for one or two credit cards. Use the cards carefully and pay them off each month.

Make a Budget and Live Within It!

A budget will help you meet your monthly bills, and therefore help your credit. It also can help increase your savings for things like a down payment on a house.

Demonstrating your ability to save and having funds on hand will help you in the mortgage approval process. Your personal savings should be sufficient to last several months should you lose your job or source of income.

Adult Homes US
Homesin
Ph: 800-405-3914
  US
www.adulthomesus.com
HOME Search Homes SEARCH POST MY HOME Mystic Shores - Little Egg Harbor, NJ SELLER GUIDE MORTGAGES Covington Village - Lakewood, NJ Lions Head North - Brick, NJ CONTACT Seaview Village - Brick, NJ The Enclave at the Fairways - Lakewood, NJ Seacrest Pines - Barnegat, NJ Whiting Station - Manchester, NJ Cranberry Creek - Little Egg Harbor, NJ Sonata Bay - Berkeley Township, NJ Country Walk of Lake Ridge - Whiting, NJ Pheasant Run at Barnegat - Barnegat, NJ Princeton Commons - Brick, NJ Four Seasons at Sea Oaks - Little Egg Harbor, NJ Four Seasons at Harbor Bay - Little Egg Harbor, NJ Pheasant Run at Forked River - Forked River, NJ Gardens of Pleasant Plains - Toms River, NJ Perry's Lake - Manahawkin, NJ River Pointe - Manchester, NJ Greenbriar at Winding Ways - Jackson, NJ Sea Breeze at Lacey - Forked River, NJ Greenbriar II - Brick, NJ Lions Head South - Brick, NJ Paramount Escapes Ocean Breeze - Manahawkin, NJ Four Seasons at Metedeconk Lakes - Jackson, NJ Heritage Point - Barnegat, NJ Lake Ridge - Toms River, NJ Four Seasons at South Knolls - Jackson, NJ Crestwood Village 2 - Whiting, NJ Crestwood Village 3 - Whiting, NJ Crestwood Village 1 - Whiting, NJ Crestwood Village 7 - Whiting, NJ The Fairways at Lake Ridge - Lakewood, NJ Crestwood Village 5 - Whiting, NJ Crestwood Village 6 - Whiting, NJ Crestwood Village 4 - Whiting, NJ Four Seasons at Mirage - Barnegat, NJ Cedar Glen Lakes - Whiting, NJ Greenbriar Woodlands - Toms River, NJ Four Seasons at Lakewood - Lakewood, NJ Leisure Village East - Lakewood, NJ Westlake Golf and Country Club - Jackson, NJ Greenbriar Oceanaire - Waretown, NJ Holiday City at Silverton - Toms River, NJ Leisure Knoll - Manchester, NJ Renaissance at Manchester - Manchester, NJ Greenbriar I - Brick, NJ Leisure Village - Lakewood, NJ Leisure Village West - Manchester, NJ Silver Ridge Park - Toms River, NJ Holiday City at Berkeley - Toms River, NJ Heritage Bay at Barnegat - Barnegat, NJ Lions Head Woods - Lakewood, NJ Sunrise Bay - Little Egg Harbor, NJ Fawn Lakes - Manahawkin, NJ Atlantic Hills - Manahawkin, NJ Venue at Lighthouse Station - Barnegat, NJ Lennar at Lake Ridge - Whiting, NJ Meadows at Lake Ridge - Whiting, NJ Cedar Village at Brick - Brick, NJ Horizons at Woodlake Greens - Lakewood, NJ The Pavilion - Brick, NJ Leisure Ridge - Manchester, NJ Horizons at Barnegat - Barnegat, NJ Wedgewood Place - Brick, NJ Venue at Woodlands - Manchester, NJ Four Seasons at Smithville - Galloway, NJ The Oaks of Weymouth - Mays Landing, NJ The Fairways at Mays Landing - Mays Landing, NJ The Village Grande at English Mill - Egg Harbor Townshi The Village Grande at Little Mill - Egg Harbor Township Woods Landing - Mays Landing, NJ Tavistock at Mays Landing - Mays Landing, NJ The Village at Linwood - Linwood, NJ Traditions at Blueberry Ridge - Hammonton, NJ Gatherings at Bel Aire Lakes - Absecon, NJ Woodland Village - Absecon, NJ Leisuretowne - Southampton Township, NJ Homestead at Mansfield - Columbus, NJ Holiday Village East - Mt. Laurel, NJ The Renaissance Club - Mt. Laurel, NJ Four Seasons at Mapleton - Columbus, NJ Village Greenes - Evesham Township, NJ Wyngate at Medford - Medford, NJ Glen at Masons Creek - Hainesport, NJ Traditions at Newton's Landing - Delanco, NJ Greenbriar Horizons - Bordentown Township, NJ Legacy Oaks at Evesham - Marlton, NJ Heritage at Medford - Medford, NJ Village Grande at Crosswicks Creek - Bordentown Townshi Hearthstone at Woodfield - Pemberton, NJ The Mews at Laurel Creek - Moorestown, NJ Legacy At Meadowcroft - Florence, NJ Ashley Crossing - Delran, NJ Wildflowers at Medford - Medford, NJ Fernbrooke - Westampton, NJ Sharp's Run - Evesham Township, NJ Legacy at Hidden Lake Village - Burlington Township, NJ