When you get ready to buy a house, you start to think about a lot of numbers. How much house can you afford? What will you monthly mortgage payment be? How much will your homeowners insurance premiums cost? What is your credit score? While some of those numbers may be out of your control, you can take steps to get the best possible answer to the last one. So that you can boost your credit score, get into these habits.
- Avoid High Balances: So you have been approved for a $10,000 credit card. Congratulations! Now, do not go using $9,999 of it. Even if you pay off your balance in full, using over a third of your available credit can hurt your credit score. In fact, make sure that you are keeping your credit utilization ratio below 30 percent on all of your accounts.
- Have A History: Make sure you have as long a credit history as possible. For example, do not close an account you have had for a decade in favor of a card you have only had for three years, or your will cut your credit history—upon which your score is based—by two-thirds.
- Pay On Time: Paying your bills on time might seem like a no brainer when it comes to a high credit score. That is because it is; go do it!
You have done a lot of work to get the best possible credit score so you can get the best possible mortgage for your house. Why, then, would you leave yourself exposed to unnecessary last minute closing costs? So that closing escrow can go as smoothly and affordably as possible, contact Brighton Escrow in Hermosa Beach. We are here to ensure the crucial last steps of your California home buying process are flawlessly executed.