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Does consolidating credit card debt hurt your credit

Most lenders ask that you verify your last 12 months housing history.You can do this with cancelled checks or a VOR (Verification of Rent) from your landlord.

does consolidating credit card debt hurt your credit-79does consolidating credit card debt hurt your credit-24

Liquid assets are always helpful when applying for a loan, and are almost always a necessity for a first-time home buyer.Most prospective home buyers have difficulty saving enough for the down payment, and sometimes miss out on their dream home as a result.So saving early and often is key to achieving the dream of homeownership.It’s also important to have budgeted for closing costs, while leaving an emergency fund in place to ensure monthly mortgage payments can be made if/when something unexpected comes up.Now that you’ve got your credit profile in check and you know what you can afford, you’ll need to make sure you’ve got a verifiable housing history and seasoned assets.Also scan the credit report for derogatory accounts and clean them up as best you can. If you see collections/charge-offs, call the associated creditors and ask to get them removed (or dispute them online). If not, you may want to work on your credit before applying for a mortgage.

A credit score of 620 or higher is probably the minimum you’ll need before beginning your property search.

This includes buying that plasma screen on a Best Buy card for your new crib.

It can drive your credit score down needlessly which will result in a much higher interest-rate.

So you’re thinking about buying your first piece of real estate? But before you even begin to comb through real estate listings and attend open houses, you need to make sure you can actually qualify for a mortgage on your dream home.

Or you’re considered a “first-time home buyer” simply because you haven’t owned a property in the past three years. And I hope you actually took a moment to compare renting to buying.

Make sure you have an account with at least two months PITI (Principal, interest, taxes and insurance) available.