According to Freddie Mac, long-term mortgage rates are significantly higher – more than a percentage point – than they were only three months ago. A percentage point may not sound like a lot, but in the lending industry they are a big deal and make a marked difference in your ability to achieve less expensive loans.
Mortgage industry leaders are advising their customers to lock in current rates as soon as possible. This is a positive sign that the American economy is becoming stronger daily, and signals to consumers that now is a great time to re-finance their mortgages. But, consumers first need to ensure that they have secure credit.
A weak credit score should be repaired and strengthened to be eligible for these improved interest rates. You want to pay the least expensive mortgage rate possible—that’s obvious. But, is your credit score preventing you from taking advantage of this market uptick?
Actions That Improve Credit
Here’s what we would recommend:
- Pay as much as you can toward your current credit card(s) debt
- Pay down the card with the most debt first
- Decrease the charge limits of your cards
- Check for inaccuracies (incorrect late payments, outdated personal information)
Every credit situation is different; however, taking control and working to improve your overall financial health can help you obtain the best rates possible.
Get Help Securing a Better Mortgage
Unsure of how to fix your credit? Ovation Credit can help you repair your credit score so that you can take advantage of better mortgage rates. To learn how, browse our website or call 1-866-639-3426 for a free consultation and you’ll soon be on your way to paying less for your home!