Does Shopping for a Mortgage Hurt Your Credit?
Everybody who makes the leap into buying a home, especially first-time homebuyers, and even those who already own a home and are looking to improve their mortgage must eventually confront the pre-approval process. That means a mortgage application and a credit inquiry, also known as a hard credit pull.
Would it surprise you to know that this is a MAJOR stopping point for some? Even before they really even started. And the reason is because many have become conditioned to think that even a single credit inquiry will send their perfect FICO scores into a free fall. Let alone the multiple credit inquires that sometimes accompany shopping for the best mortgage rates and terms.
So let's not back down and let's have some rockin' fun with how credit inquiries and mortgages really work.
Runnin' down a dream,
SVP of Mortgage Lending
Marin Office: 324 Sir Francis Drake Blvd., San Anselmo, CA 94960
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Totally agree. Do you want to buy a house or do you want to tell your friends that you have an 800+ FICO score? And really, it's not even either/or. If your FICO is that solid to start, and inquiry will likely have zero impact on it (never mind that conforming's last cutoff for price improvement is 760...).