How to Improve Your Credit Rating So You Too Can Purchase a Home.

There are several tips you can follow to improve your credit rating in order to buy a house:

1. Pay your bills on time: Late payments can have a negative impact on your credit score. Make sure to pay all your bills, including credit cards, loans, and utilities, on time.

2. Reduce your debt: High levels of debt can lower your credit score. Try to pay down your outstanding balances and keep your credit utilization ratio low.

3. Monitor your credit report: Regularly check your credit report for any errors or discrepancies. If you find any, report them to the credit bureaus and get them corrected.

4. Use credit responsibly: Avoid maxing out your credit cards and try to keep your credit utilization ratio below 30%. Also, avoid opening multiple new credit accounts at once, as this can negatively impact your credit score.

5. Build a positive credit history: Having a longer credit history can be beneficial for your credit score. If you don't have much credit history, consider opening a secured credit card or becoming an authorized user on someone else's credit card.

6. Don't close old accounts: Closing old credit accounts can shorten your credit history, which may negatively affect your credit score. Instead, keep them open and use them responsibly.

7. Be cautious when applying for new credit: Each time you apply for new credit, it can result in a hard inquiry on your credit report, which can temporarily lower your credit score. Only apply for credit when necessary.

Remember, improving your credit rating may take time and effort. It's important to be patient and consistent in practicing good credit habits. It's important to talk to a licensed mortgage officer to learn more about the process.