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Credit scores are important...here's a quick visual where you can see what a difference in a score would mean to you financially when buying a home.
The table below, provided by FICO, shows how a range of credit scores can come into play when it comes to mortgage rates. To get the lowest rate, you’ll need a credit score range of 760-850. These rates below are based on a $300,000 30-year, fixed monthly payment.
FICO® score APR Monthly payment
760-850 4.525% $1,525
700-759 4.747% $1,564
680-699 4.924% $1,597
660-679 5.138% $1,636
640-659 5.568% $1,716
620-639 6.114% $1,821
760-850 4.525% $1,525
700-759 4.747% $1,564
680-699 4.924% $1,597
660-679 5.138% $1,636
640-659 5.568% $1,716
620-639 6.114% $1,821
This Bankrate article gives you the scores you'll need for other purchases such as cars too. Let me know if you'd like an introduction to a lender who can help you figure out where you are...an important first step when buying a new home.
