It used to be that a 720 was considered an excellent credit score, however that’s no longer the case. The new benchmark for excellent credit when it comes to mortgage rates is now a 740 or better. When we obtain a credit report, we go off the middle score (not average) when there’s only one borrower, or the lower of the two middle scores when there’s a borrower and co-borrower.
We then look at the equity position. Depending on the type of loan (rate/term refi, cash-out refi, or purchase), the rate can be higher or lower depending on the credit score and equity position.
- APR…Annual Percentage Rate or Another Phony Rate?
- Bi-Weekly Mortgages, Are They Worth It?
- Higher Rate, Lower Fees or Lower Rate, Higher Fees?
- How Recent Market Changes Can Affect You
- The Housing and Affordability Plan
Gregg Harris has written 15 articles on LenderCity
