It might be tempting to close an old credit card you no longer use, but don't do it yet. The length of your credit history matters. Keeping older accounts open—even with a zero balance—improves your average account age, which makes you look more stable to lenders. 4. Hit the "Pause" Button on New Credit
Before you visit a single open house, pull your credit reports from the three major bureaus (Equifax, Experian, and TransUnion). Look for errors like accounts that aren't yours or incorrect late payments. Disputing even one small error can give your score a quick, meaningful bump. 2. The "30% Rule" for Utilization credit help for buying a house
Lenders love seeing a large gap between what you can borrow and what you actually owe. Aim to keep your credit card balances below 30% of your total limit. If you have $1,000 in available credit, try to keep your balance under $300. Paying down revolving debt is often the fastest way to see a score increase. 3. Protect Your "Age" It might be tempting to close an old
The most significant factor in your score is your payment history. One 30-day late payment can stay on your report for seven years and cause a major drop. Set every bill to autopay for at least the minimum amount to ensure you never miss a deadline. The Bottom Line Disputing even one small error can give your
Buying a home is likely the biggest purchase you'll ever make, and your credit score is the key that unlocks the door. If your score isn't quite where it needs to be, don't worry—credit is a marathon, not a sprint.
You don’t need a "perfect" 850 to buy a home, but a higher score usually means a lower interest rate. Over a 30-year mortgage, even a 0.5% difference in your rate can save you tens of thousands of dollars.
Here is a straightforward guide to getting your credit "mortgage-ready." 1. Know Where You Stand