topic Re: How much mortgage loan affects credit score? in Mortgage Loans

How much mortgage loan affects credit score?

Anonymous — Thu, 15 Feb 2018 20:10:50 GMT

I currently have 820 personal credit score. All revolving credit card accounts. No installment accounts. I think around $30k-$40k in total credit on my report. I owe 4% of overall amount, pretty much everything's paid off, all active accounts.

If I was buy a house for $300k today with a 30 years fixed payment. Let's say a few years from today I've decided to apply for a large unsecured loan..maybe a $20k unsecured revolving loan, will the bank turn down my application due to my $300k mortgage loan that I already have on my report? I just like to know how much impact will large mortgage loan affects my future personal loans, business loans or even other credit card applications? Let me know how this process works.

By the way, my credit score is already 820, for instance if I bought a house, will my credit score drops or how much will my score drops?

Re: How much mortgage loan affects credit score?

JVille — Fri, 16 Feb 2018 13:57:19 GMT

You have to live some where and any effect on your Fico Scores will be minor. Should you wish to get additional credit in the future the bank will look at not only your Credit Scores but your total Debt to Income picture and your capacity to pay any new obligations.
Have you pulled your 3 Bureau Report and what are you Mortgage Scores because if you are getting a Mortgage Loan that is what really counts. Where did the 820 come from?

Re: How much mortgage loan affects credit score?

Anonymous — Fri, 16 Feb 2018 17:16:15 GMT

I only have credit cards on my personal credit report, so answering your question is my credit score was built from credit card revolving accounts.

No I haven't checked on my mortgage score. Even if I did, I'm still curious about the impact on my credit score after buying a house with the 30 year mortgage commitment.

Re: How much mortgage loan affects credit score?

JVille — Fri, 16 Feb 2018 17:49:57 GMT

After a couple months there will be no adverse effect. Highly recommend you pull a 3 Bureau and see your current Actual Fico Mtg Scores. The scores from Credit Card providers are pretty much worthless and the scores that count are Mtg Scores (middle score of the borrower with the lowest scores - husband vs wife).
I hope this helps, but please pull your REAL scores and don’t depend on the “Fake” scores (offered thru Various CC providers).

Actually having a Mortgage should make your score increase, installment loans are a positive factor in scoring not negative!