Lending Changes and How to Overcome Them – Guest Post

This week I’ve invited a friend and talented loan officer to bring us up to date on some changes in the lending industry and how you can overcome them.  If you’ve read much on this blog then you know there are two important things you must do when you are ready to buy a home. 1.) Choose a great real estate agent, and 2.) Get pre-qualified for a loan.  Getting pre-qualified often gives buyers the jitters, but in this post Lora Looper from Mortgage Investors Group gives us tips to make it a bit less scary.

Let’s get Lora‘s take:

The Tennessee Housing Development Agency (THDA) recently announced that they will be increasing the credit score limit on their purchase transactions from 620-640.
At this point realtors, loan officers, buyers and sellers are singing the blues. Just one more layer added to the possibility of home financing.
Why do “they” keep making it so difficult for someone to buy a house? It’s like “they” don’t want our market to thrive! Don’t “they” know that the housing industry paves the way to our economy making a comeback?

annoyed displeased young woman
These are just a few of the comments that I have heard in regards to the continuation of the tightening of regulations in our industry. And most of these fine folks aren’t even aware that THDA just increased their minimum credit score requirement.
I can’t say that I don’t somewhat agree with some of the comments, however I also know that it ain’t over til its over.
So how do you, a homebuyer, buy a home? You become educated.
Your credit score is a moving target.
Ever try to hit one of those? I have…at Dollywood…the kid next to me with cotton candy stuck in his hair and caramel on his chin beat me.

Ich bin der Scheriff
So does that mean you will never “win”? No. It just means I am a terrible shooter.
You however, with the proper tools can certainly obtain a 640 credit score. Actually, you can obtain a 740 credit score!
These are three of the easiest ways to improve your credit:
Keep credit card balances low
Pay bills on time
Be a well-rounded borrower

Never hesitate to contact a mortgage professional now. Even if you think home ownership isn’t in your reach right now I can help give you the tools you need in order to make that dream a reality.

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