If you are shopping for a mortgage loan there are a number of mistakes that can cost you thousands of dollars. Here is all you need to know to avoid making common mortgage mistakes. Shopping for a new mortgage can be an intimidating task. If you dont research mortgage lenders and their loan offerings properly, you could overpay thousands of dollars. Here is a common mortgage mistake you need to avoid. Not Protecting Your Credit If you are in the market for a mortgage and havent seen your credit reports during the last six months you are making a big mistake. There are three credit reporting agencies that maintain credit reports for you; these credit agencies are prone to errors. At least six months before you start shopping for a mortgage you need to request credit reports form each of these credit agencies and check for errors. If you find errors you need to dispute these errors with the individual credit agencies. You can receive a free copy of each of your credit reports by visiting AnnualCreidtReport.com; recent legislation in the United States requires the credit reporting agencies to provide you one free copy of their records every year upon your request. After you have verified the contents of your credit report you are ready to begin shopping for a mortgage loan. Make sure you request no obligation quotes from the lenders you contact. This will allow the lenders to quote you a mortgage without accessing your credit reports. The problem with lenders accessing your credit report is that anytime this happens an inquiry is logged on your credit report. If you have too many credit inquires on your records during a short period of time this can damage your credit score. Do not allow mortgage lenders to access your credit reports until you have chosen a mortgage. This is an example of one common mortgage mistake people make when shopping for a mortgage. To learn more about avoiding these common mistakes sign up for a free mortgage guidebook. |
