How to Raise a Credit Score in Eight Months in Order to Buy a Home

There are numerous factors to take into consideration before jumping into the housing market: down payment, fees, points and so much more. However, before you get too deeply into the process, your lender will first review your credit report and history to determine if you're a good candidate for a mortgage. If you are dealing with a shaky credit history, now is the time to improve your credit and add points to your score.

Instructions

1

Evaluate your credit. Don't begin your home search blindly. Request a copy of your credit report and credit score from websites like Annual Credit Report and MyFico.com. Credit score minimums vary according to lender. Aim for a score in the 700s to help you secure approval and a low interest rate.

2

Learn how to manage your debts. High debts can impact your purchasing power, qualifying you for a lower mortgage. Thus, take steps to pay them down. Use personal savings, create extra income with second employment or alter your lifestyle to increase income.

3

Pay bills on time. Even if you have the income to qualify for a mortgage, late payments or skipped payments look bad on your credit report and lower your score, perhaps resulting in a loan denial. Pay your credit cards, loans and other creditors on time each month.

4

Keep credit cards and other personal information in a safe, secure place. Closely monitor your credit report and look for signs of identity theft. Report unusual activity on your credit card statements and dispute credit report errors.

5

Reduce credit applications. Excessive credit applications or inquiries also lower your credit score and could also result in mortgage lenders denying your loan request. Decline all store credit offers and put off applying for credit until it's time to apply for a mortgage.