Regarding a purchase mortgage
1. If you shop around too much, it will lower your score
2. You have a "window" of 2 weeks to shop til you drop and it won't hurt your score.
2006-06-13 08:57:57 · 5 answers · asked by Anonymous in Business & Finance ➔ Credit
wow, and alot of conflicting answers! thanks to the link about it on myfico from vatreasures.
2006-06-13 09:18:59 · update #1
The answer is actually better than option 2. It is a period of 30 days.
2006-06-13 09:04:18 · answer #1 · answered by VATreasures 6 · 1⤊ 2⤋
You have a window of at least 2 weeks to shop for your loan, if someone checks it past the two weeks that the first person checks it, you will likely get a 5 pt hit or so. Unless you are under 650 for your score 5 points won't really matter either way, but if you are then you do not want to play around... 5 points could make a huge difference in loan approval for a 6% or 10% loan. If you are under 650, also look into special programs like first time buyers and FHA. I had to go FHA on my first house.
Now, you will get the hit on your score as well if you apply for credit on a car or credit card as well as the house. The credit agencies want you to own a home, it means stability to them. I wouldn't shop around TOO much with banks you aren't familiar with. Maybe a few like Wells Fargo, a credit union, and US Bank or something. Credit Angencies make mistakes too, www.myfico.com has some good info.
There are also companies that will shop around for the best loan for you, I can't remember the name of who I used. They write it up then sell it to a local bank, they charge fewer fees than most banks too. If you really want to know who, email me and I will tell you.
2006-06-13 16:03:44 · answer #2 · answered by Anonymous · 0⤊ 0⤋
1. Yes, if you continue to have your credit pulled, it will no doubt lower your score.
2. There is no such thing as a window. Sorry.
2006-06-13 16:06:46 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Yes to the one on getting to many inquiries into your credit can lower the number a bit.
2006-06-13 16:02:09 · answer #4 · answered by michael d 2 · 0⤊ 0⤋
i don't think i'm following your terminology.
every time your score is checked by a financial institution, your score will lower. this is true.
the other thing...i don't understand your statement.
2006-06-13 16:02:24 · answer #5 · answered by joey322 6 · 0⤊ 0⤋