Credit Card Center Advertiser Disclosure†
09-02-2012 01:13 AM
09-02-2012 01:22 AM
I think you will be fine. I was told not to open anything new at all once I started the process and had been about 6 months out from my last apps. I did do a money shuffling installment loan in the middle of my application, but it was to improve my DTI and it was OK'd by the LO and UW with a letter of ex.
I cannot WAIT to close on my house so I can app for Navy and Lowes!!!
09-02-2012 07:45 AM
As a newbie, I have a question for all you savvy MyFico-ers. Last month I applied for some credit cards for DH and myself that I've had my eye on. I was thinking we would not be looking for a house/mortgage for AT LEAST 1-2 years. However, as is usually the case with my plans, things have changed and I am now anticipating to begin the mortgage application process in around 6 months.
Here are the details: before apping our scores were 740-760. Both had AAoA of 2-3 years (multiple TLs and student loans reporting so AAoA will decrease probably 3-4 months). No lates/ baddies of any kind on either report. I will have 1 new TL reporting on my account as of last month and he will have 2.
So, have I ruined us for a potential mortgage hunt this Spring??
No way you will be fine. The effect of the new accounts will deminish some within the next 5 months. I think you are safe to apply in Feb or march. You are doing great! You should consider both a conventional mortgage and an Fha mortgage. There are pros and cons to each. I like the conventional because it costs less in the wrong run but an Fha can be much easier to get because of less down payment and cash reserve requirements. I think its a good idea to study both programs. Basically; the amount of cash you have in savings will determine which program is right for you.
09-03-2012 12:22 AM
09-03-2012 04:42 PM
Ok, great. Thanks so much for the replies! After we decided we might need to move earlier than expected I was so upset about having applied for the new credit. It's always nice to know how the situation looks from the outside
I'm thinking we'll probably go for the FHA loan because the smaller down payment would be better right now. But we're definitely weighing the options of FHA vs. Conventional.
Best of Luck to you guys!!
09-04-2012 06:44 AM
6 months is generally the rule when apping before a mortgage. With that said it wouldn't ruin your chances for anything. You may just have to explain them.
Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.† Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
* For complete information, see the terms and conditions on the credit card issuer’s website. Once you click apply for this card, you will be directed to the issuer’s website where you may review the terms and conditions of the card before applying. While myFICO always strives to present the most accurate information, we show a summary to help you choose a product, not the full legal terms - and before applying you should understand the full terms of products as stated by the issuer itself.
IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more
FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.