Regular Contributor
Posts: 136
Registered: ‎06-04-2012

Auto loan after home soon?

I am in the process of cleaning up my credit to apply for a home loan in or around January 2013. I am saving money for that and for a new car loan down payment. My question is, how soon should I apply for the car loan after I close on the house? I am thinking I should apply pretty quickly before the house hits my credit but I don't know how all of that works. I plan to use Capital one auto finance.
EQ FICO 564 (3/12) Lender pull 673 (4/12) FICO 703 (6/13)
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Homeowner since September 2013!
Posts: 8,895
Registered: ‎12-30-2011

Re: Auto loan after home soon?

[ Edited ]

After you close you're pretty much free to do what you want, just it'll vary a bit based on whether that new mortgage tradeline is on your report or not and that could go either way with your individual credit profile.


Personally I wouldn't put two big ticket purchases that close together unless I had no choice; certainly if they knew about it, your mortgage lender would be pretty annoyed to see the money you claimed as a reserve vaporize with a car downpayment.  My non-credit, financial defensibility recommendation: don't blow your excess cash on a new car after just buying a house.  There's almost always going to be an unbudgeted expense or two, and it's better not to get caught flat-footed.


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Posts: 9,220
Registered: ‎01-28-2010

Re: Auto loan after home soon?


Also be aware that your new mortgage won't appear on your CRs immediately, it could be 2 or 3 months, depending the creditor.

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