All about Credit Report
If you were turned down for a loan or a line of credit, the lender is required to give you a list of the main reasons for its decision or a notice telling you how to get the main reasons.
First, find out what caused the lender to turn you down. If a lender rejects your application, it’s required under the Equal Credit Opportunity Act (ECOA) to tell you the specific reasons your application was rejected or tell you that you have the right to learn the reasons if you ask within 60 days.
If a lender rejects your application based on your credit report, the lender is also required to:
Provide you the numerical credit score it used in taking the adverse action and the key factors that affected your score
Give you the name, address, and telephone number of the credit reporting company that provided the report
Tell you about your right to get a free copy of your credit report from the credit reporting company that provided it within 60 days of your adverse action notice
Explain the process for fixing mistakes on your report or adding information to make your report more complete
If you find information in you
Tip 4: Understand your local market. Once you know what you are looking for, the fourth tip is to research what similar homes have sold for in the past six months. This will give you a good baseline for your expectations and upcoming negotiations. Your realtor and mortgage lender are great resources for this information. You can also look at online real-estate marketplaces to find typical housing costs in your area.
Tip 5: Set a realistic budget and stick to it. Consider what you absolutely need in a future home and where you can make concessions. This will help you stick to a budget you can afford. To determine how much home you can afford and what your mortgage payment will look like for your budget, reference Guardian Mortgage’s handy mortgage and home affordability calculators(Opens in a new window).
While today’s housing market can make things challenging, the American Dream is still achievable when you follow the tips above and have a knowledgeable dedicated team at your back, helping you throughout the process.
If you’re thinking about buying a home, or in the process of purchasing a home, contact Guardian Mortgage(Opens in a new window) and our team of talented mortgage loan originators. We are here to help you find a mortgage loan option that is best for your needs while providing education and support every step of the way.