topic Re: Mortgage credit inquiries in Mortgage Loans

Mortgage credit inquiries

Seatown1two — Tue, 17 Sep 2019 16:17:09 GMT

Can someone please tell me the number of days I have to shop around for a mortgage without the hard inquiries impacting my mortgage scores? I first had my credit pulled by a lender about 35 days ago.

Re: Mortgage credit inquiries

VALoanMaster — Tue, 17 Sep 2019 16:43:42 GMT

According to the CFPB it's 45 days.

https://www.consumerfinance.gov/ask-cfpb/what-exactly-happens-when-a-mortgage-lender-checks-my-credit-en-2005/

Within a 45-day window, multiple credit checks from mortgage lenders are recorded on your credit report as a single inquiry. This is because other creditors realize that you are only going to buy one home. You can shop around and get multiple preapprovals and official Loan Estimates. The impact on your credit is the same no matter how many lenders you consult, as long as the last credit check is within 45 days of the first credit check. Even if a lender needs to check your credit after the 45-day window is over, shopping around is usually still worth it. The impact of an additional inquiry is small, while shopping around for the best deal can save you a lot of money in the long run. Note: the 45-day rule applies only to credit checks from mortgage lenders or brokers' credit card and other inquiries are processed separately.

Re: Mortgage credit inquiries

Seatown1two — Tue, 17 Sep 2019 16:55:16 GMT

Great thanks!

Re: Mortgage credit inquiries

Anonymous — Fri, 20 Sep 2019 10:02:10 GMT

Lets day your score drops by 4 points after the inqury from the first lender shows up on your report. Does that mean the subsequent lenders are going to see the original score the first lender saw, or will they see the updated score impacted by the first pull?

If it's the latter then you might be offered a slightly higher interest rate by the second and third lenders. Even a .1% increase will impact your monthly payment. Depending on the price of the house, it could be an extra $10-20 extra a month.

Or am I completely off track?