Will a Mortgage Inquiry Hurt my Credit?
Great Question, and there is a good chance your lender has you thinking if anyone else pulls your credit, it will end the word.
It's often misunderstood how a mortgage credit inquiry will affect one's credit report. In fact, consumers are sometimes scared by lenders who may tell them to not allow anyone else to pull their credit, for the lender's benefit. (they don't want you to shop your loan)
So, it really depends on how much positive credit you have. If you have positive established credit like ontime payments for credit cards, car payments, home loans, student loans, and other credit types, then you have little to worry about.
While a mortgage company pulling your credit score to help you gain pre approval is considered a negative inquiry, it carries very little weight.
Now, if you have NO established credit, no car payments, no credit cards that you pay on time, no loan payments, then your score could suffer. However, it's be because you have NOTHING to counter balance. Put a penny on a scale with nothing to counter balance, and you will see the scale move.
However, for most people, that is not the case. Most of us have established credit, and the mortgage credit inquiry will have little to no impact.
I am here in Frisco serving home buyers all over Texas gain a clear understanding of the ins and outs of the homebuying process.
To visit my Guaranteed Rate business page, click here :
Or to apply for a home mortgage, this is the direct link to make a secure online application:
Marcel Deitrich Branch Manager Guaranteed Rate 972.672.3246 NMLS #231135
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