credit and home loans: key features and smart moves

Understand your credit profile

Your credit score, payment history, and utilization shape rates and approvals. Lenders also weigh income stability and debt-to-income ratios, so trimming balances before applying can boost your options. Pull free reports, dispute errors, and avoid opening new accounts right before a mortgage review.

Pick the right loan structure

Compare fixed and adjustable terms, conventional versus FHA or VA, and whether discount points make sense. Look beyond the headline rate to the APR, fees, and total cost over the first five to seven years. A larger down payment may lower mortgage insurance and monthly stress.

• Get preapproved to set a realistic price range.
• Save a cash cushion for closing and repairs.
• Shop multiple lenders on the same day window.
• Ask about rate locks and float-down options.
• Read the Loan Estimate and Closing Disclosure carefully.

Approach credit and home loans like a long-term plan: automate payments, revisit goals each year, and refinance when improved credit or market shifts make it worthwhile.