Will your rental history help or hurt you when buying a home? This was a question you never really considered in the past, as FICO and the 3 main credit reporting agencies did not gather your rental payment data and there was hardly any verification that went into the ‘facts’ as you outlined on your Mortgage application. For some this was a ‘good’ thing- but for so many others, specifically those trying to establish or reestablish credit, this is a big problem.
Change may be on the horizon. Two, of the three main, credit reporting agencies have begun to bring rental payment data into the credit worthiness picture. It is reported that both Experian and Transunion are now using this data to compute credit scores when customers are applying for a mortgage.
So next time you are thinking- ah, ‘I’m buying a house and hey- It’s just rent- noone cares anyway…’ and you make that ‘late’ payment- be aware that accumulation of late payments, over time, will NOW, it appears, have an impact on your future plans.
Do all you can now to protect that credit score- it will save you thousands over the life of your mortgage.
Selling/Buying/Investing- You owe it to yourself to call Dawn McNary, REALTOR® , with Heritage Properties spc Today! Let me help you ‘Make YOUR home ownership dreams a reality!’