Does anyone know (best estimate if possible) how high of a point rating on a person’s credit report is necessary to get the various mortgage rates (A, B,C,D Prime or Subprime, etc.,)?
OK, can anyone at least tell me what a ‘good’ credit rating score would be…? 650? 700? Where is the cutoff point for a good credit rating?
From my personal experience, I think, 650 to 700 is entering the good credit rating score. But me thinks a lot depends from institution to institution.
Top tier is FICO score above 680. However, top tier to one company isn’t necessarily top tier to another.
Generally, mortage loans are granted top rates to anyone in tier one or two.
650 is usually safe. Being very high…say 780-800, doesn’t accomplish much.
-P.L. , resident credit guru.
If you want to buy a house and you’re worried about your credit, talk to a mortgage broker who will pre-approve (not pre-qualify) you. You may be surprised. I was. I was told by several brokers that 620 was the minimum score for which they would make loans. This was an FHA loan at 8% (the going rate at the time) with 3% work equity as my down payment. Of course, the interest rates started dropping again right after I closed. I really need to look into refinancing…
And for the difference between pre-approval and pre-qualification… Pre-approval is a commitment by the broker/bank to make the loan. Pre-qualification just tells you what they think you can afford.
Philster, come back! Tell us more.
How does a newly-married couple score a 650? I’ve been to myfico.com, but bogged down on the site and never found my score (I think they wanted $$$ and info).
What are “plus” items, and what are the pitfalls? Share, oh guru. Pros and cons, tips and tricks. This GQ has legs!