@Anonymous wrote:Yes it is crazy. Luckily you were still above the 620 mark. I was only4 points over the 620 I need, so now that y score has gone down 25 points, Im sure ive gone down at least 25 on my mortgage credit score. Wish I had came here first!
As you noted in your original post, it was probably the dispute clearing; most people dispute negative tradelines, and disputes can do whacky things up to and including discounting the entire tradeline from scoring.
Which is why you can't get a file automatically underwritten with a dispute (or a dispute remark but that's a different issue).
Frankly we'll need a lot more information of what's in your file to optimize it, and how much cash you have to try to do it with that doesn't torpedo your downpayment. Short term increases come down to two things:
- Airstriking derogatories (vis a vis Pay for Delete or otherwise on collection accounts, or Fresh Start on a Fed tax lien)
- Prettying up utilization metrics
That's pretty much all you can do within a couple week time frame.
I will state though that the DTI guidelines are there for consumer protection, not to damage their chances of getting a loan; taking a mortgage that I could easily afford way less than my max DTI is almost assuredly the second smartest thing I've ever done... which came immediately after the smartest thing I've done by actually doing a real post mortgage budget; not saying that everyone should do this even though being house poor absolutely sucks, but look really hard at your budget if you have an $800 / month payment and going for max qualification: yes that mortgage interest deduction can sure be sweet, but rushing into a potentially unaffordable house isn't where you want to be.
